<a href='https://wtop.com/author/jeff-clabaugh/'>Jeff Clabaugh</a> <span> | <a href="mailto:jclabaugh@wtop.com">jclabaugh@wtop.com</a></span> <br>January 15, 2025, 2:25 PM<br>Herndon, Virginia-based <a href="https://www.becn.com/" target="_blank" rel="noopener">Beacon Roofing Supply</a> has rejected an $11 billion hostile takeover bid, saying it undervalues the company.<br>Beacon Roofing, a Fortune 500 company, has grown significantly in recent years through its own acquisitions of smaller building supply companies. It is now the largest publicly-traded building materials company in the country, with an estimated $9.8 billion in 2024 revenue, according to Bloomberg.<br>Greenwich, Connecticut-based QXO made the $11 billion acquisition offer Nov. 11, 2024, and chose to go public with the bid after it said Beacon Roofing failed to bring the offer to shareholders.<br>In a statement Wednesday, Beacon said its board thoroughly evaluated the proposal, and unanimously rejected it, saying it significantly undervalued the company and its prospects for growth. It also denied claims by QXO that it had failed to engage, and had offered to share company information under a nondisclosure agreement.<br>“Beacon has acted in good faith to engage with QXO to show them a path to value in a time frame that would preserve their rights and flexibility. However, QXO has refused to improve its first and only proposal, which the Board determined significantly undervalues the Company,” board chair Stuart Randle said. “Our Board remains open to all opportunities to maximize shareholder value and is fully committed to acting in the best interests of Beacon and all of its shareholders.”<br>QXO said its attempt to explore a transaction has been <a href="https://www.qxo.com/news/qxo-proposes-to-acquire-beacon-roofing-supply-for-124-25-per-share-in-cash" target="_blank" rel="noopener">met by unreasonable preconditions</a>.<br>Beacon Roofing was founded in 1928 and has grown to more than 580 locations in all 50 states as well as Canada. It made two acquisitions in the fourth quarter as part of its acquisition growth plans, including Ryan Building Products and Fairway Wholesale Distribution.<br>QXO provides accounting, financial reporting and warehouse management systems for building materials companies.<br><em style="font-size: 16px; font-weight: 600;">Get breaking news and daily headlines delivered to your email inbox by signing up <a href="https://wtop.com/newsletter-signup/" target="_blank" rel="noopener">here</a>.</em><br>© 2025 WTOP. All Rights Reserved. This website is not intended for users located within the European Economic Area.<br>Jeff Clabaugh has spent 20 years covering the Washington region's economy and financial markets for WTOP as part of a partnership with the Washington Business Journal, and officially joined the WTOP newsroom staff in January 2016.<br>5425 Wisconsin Ave<br /> Chevy Chase, MD 20815<br> <a href="mailto:hello@wtop.com">hello@wtop.com</a> <br> <a href="tel:2028955000">202.895.5000</a> <br><br>Copyright © 2025 by WTOP. All rights reserved. This website is not intended for users located within the European Economic Area.<br><br><a href="https://news.google.com/rss/articles/CBMimwFBVV95cUxPenRwZlI2eENZN2prS3lpaWxub0hveGJCdUtFSHk3dUNlN1dEVktrT2Q4dDVVVksyNkl5eTFFZ3NmWElRbVJBLWtxc3ZLQ3BRSGpVcmFDMjNGU3JxSmlJZTRYSUJXdllxcnlDQnppUmlpZ2habWY0Mm5hc1lXcUI5cDZPQ2hyaWF6ejl6SVhSZExCNzhITEhRRk9ZOA?oc=5">source</a>
