02:40 PM EST, 01/27/2025 (MT Newswires) -- QXO (QXO) announced a tender offer on Monday to buy Beacon Roofing Supply ( BECN ) in an $11 billion deal, keeping the proposed price unchanged from its initial bid that Beacon rejected saying it "significantly" undervalued the company.

The provider of manufacturing and distribution tech solutions proposed to buy Beacon Roofing Supply ( BECN ) for $124.25 per share in cash, which it said represents a 37% premium over Beacon's 90-day unaffected average price of $91.02. The per-share price matches the QXO proposal made public on Jan. 15, which Beacon rejected.

Shares of QXO fell about 4.5% in afternoon trade, while Beacon Roofing Supply's ( BECN ) rose 0.9%

"Our compelling offer would get cash into the hands of Beacon shareholders immediately at a significant premium to the unaffected share price," QXO Chief Executive Brad Jacobs said in a statement. "We believe that Beacon would be a strong fit for QXO and a key part of our plan to become a forward-looking leader in building products distribution."

Beacon, which distributes roofing materials and complementary building products, said it would thoroughly evaluate the tender offer.

"However, Beacon notes that QXO's offer price remains unchanged from its November 11, 2024 proposal to acquire all of the outstanding shares of the company for $124.25 per share in cash," it wrote. The board rejected that proposal earlier this month, saying it "significantly" undervalued the company.

QXO said it intends to pursue all options to complete a transaction, including nominating directors for the Beacon board at its annual shareholder meeting.

Truist Securities said in a Monday note that he expects the roofing company to again reject the proposal and employ "takeover defense tactics" to try and block it. QXO will likely nominate a slate of directors for the upcoming shareholder meeting, Truist's Keith Hughes said.

Price: 13.18, Change: -0.56, Percent Change: -4.04