Company: QXO-PB
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001628280-25-050298
Chunk: 166

Company: QXO, Inc.
Filing Date: 2025-11-06
Form: 10-Q
Item: Part I, Item 8
Chunk 166
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 conversion rate per share of the Mandatory Convertible Preferred Stock, subject to certain anti-dilution adjustments, based on the applicable market value of the common stock:

Applicable Market Value of Common StockConversion Rate per Share of Mandatory Convertible Preferred StockGreater than $20.2126 (the “Threshold Appreciation Price”)49.4740 shares of common stockEqual to or less than the Threshold Appreciation Price but greater than or equal to the Initial PriceBetween 49.4740 and 60.6060 shares of common stock, determined by dividing $1,000 by the applicable market valueLess than $16.50 (the “Initial Price”)60.6060 shares of common stock

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The following table illustrates the conversion rate per Depositary Share, subject to certain anti-dilution adjustments, based on the applicable market value of the common stock:

Applicable Market Value of Common StockConversion Rate per Depository Share Representing a 1/20th interest in a share of the Mandatory Convertible Preferred Stock Greater than the Threshold Appreciation Price2.4737 shares of common stockEqual to or less than the Threshold Appreciation Price but greater than or equal to the Initial PriceBetween 2.4737 and 3.0303 shares of common stock, determined by dividing $50 by the applicable market valueLess than the Initial Price3.0303 shares of common stock

Optional Conversion

Other than the occurrence of a fundamental change (as defined in the Company’s Certificate of Designations relating to the Mandatory Convertible Preferred Stock) at any time prior to May 15, 2028, a holder of Mandatory Convertible Preferred Stock may elect to convert such holder’s shares of Mandatory Convertible Preferred Stock, in whole or in part, at the minimum conversion rate of 49.4740 shares of common stock per share of Mandatory Convertible Preferred Stock (equivalent to 2.4737 shares of common stock per Depositary Share), subject to certain anti-dilution and other adjustments. Because each Depositary Share represents a 1/20th fractional interest in a share of Mandatory Convertible Preferred Stock, a holder of Depositary Shares may convert its Depositary Shares only in lots of 20 Depositary Shares.

Fundamental Change Conversion 

If a fundamental change occurs on or prior to May 15, 2028, holders of the Mandatory Convertible Preferred Stock will have the right to convert their shares of Mandatory Convertible Preferred Stock, in whole or in part, into shares of Common Stock at the fundamental