QXO (QXO) Falls 7.23% After $2-Billion Share Sale

We recently published Bloodbath on the Street: These 10 Stocks Crashed Hard. QXO, Inc. (NYSE:QXO) is one of the worst-performing stocks on Wednesday.

QXO declined by 7.23 percent on Wednesday to close at $21.81 apiece as investors soured on its plans to raise $2 billion through a share sale program.

In a statement on Tuesday, QXO, Inc. (NYSE:QXO) said that proceeds from the offer will be used for general corporate purposes, which may include funding future business acquisitions.

While no deal has yet to be finalized, it can be recalled that QXO, Inc. (NYSE:QXO) late last week announced plans to acquire GMS Inc. for $5 billion. The proposed transaction will cover all outstanding shares at a price of $95.20 apiece.

QXO, Inc. (NYSE:QXO) remains in a bidding war with Home Depot Inc. for the acquisition of GMS.

In relation to the share sale, the company will grant its underwriters an option to purchase up to an additional $300 million of shares of common stock at the public offering price.

Goldman Sachs & Co. LLC, Morgan Stanley, and Wells Fargo Securities are acting as underwriters for the Offering.

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READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.