(Bloomberg) — Beacon Roofing Supply Inc. has started soliciting interest from potential buyers as it looks to fend off an $11 billion takeover bid from rival QXO Inc., people familiar with the matter said. Herndon, Virginia-based Beacon is seeking to gauge interest from strategic and private equity suitors after QXO’s unsolicited approach was revealed this month, according to the people. Beacon has rejected QXO’s offer of $124.25 a share in cash, saying it undervalues the company. QXO said previously that Beacon had been seeking to attract another suitor but that no counteroffer had emerged. Beacon had not engaged with other potential bidders as it weighed entering talks with QXO, the people said, asking not to be identified discussing confidential information. Deliberations are in the early stages and there’s no certainty that they’ll lead to any other offers for Beacon, the people said. Representatives for Beacon and QXO declined to comment. Beacon provides commercial and residential roofing, siding, windows, decking, insulation, specialty lumber, waterproofing and air-barrier systems to the North American building industry. Shares in the company were trading flat at $116.85 at 1:59 p.m. in New York on Friday, giving it a market value of about $7.2 billion. In a Jan. 15 letter to Beacon’s board, QXO said the target had been trying to frustrate a deal with “delays, cancellations, and unreasonable preconditions.” In response, Beacon said it had offered QXO multiple chances to engage after receiving the bid in November. The company is scheduled to hold an investor day on March 13, when it plans to provide long-term financial targets and map out the next chapter of its growth. QXO, a building products company run by veteran dealmaker Brad Jacobs, is on the lookout for a sizable acquisition. Last year, it made a €7.6 billion ($8 billion) offer to acquire Rexel SA, only to walk away after being rebuffed by the French electrical supplies provider. While QXO is prepared to nominate directors to Beacon’s board to push through a deal, it could yet face some competition. Stifel Financial Corp. analysts wrote in a recent note that they saw “real potential for a competing strategic offer” for Beacon. They cited Lowe’s Cos. as “the most compelling candidate.” Any transaction would follow last year’s move by Lowe’s rival Home Depot Inc., which agreed a deal to acquire Beacon’s competitor SRS Distribution Inc. for more than $18 billion. Morgan Stanley is acting as financial adviser to QXO. JPMorgan Chase & Co. is working with Beacon. More stories like this are available on bloomberg.com ©2025 Bloomberg L.P. Catch all the Business News , Corporate news , Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.Business NewsCompaniesNewsBeacon Roofing Seeks Potential Rivals to QXO Takeover BidMoreLess
Beacon Roofing Looks for Possible Competitors to QXO Acquisition Offer
