GREENWICH, CT – QXO, Inc., a company specializing in computer processing and data preparation, has announced the appointment of Ihsan Essaid as its new Chief Financial Officer, effective Monday, July 15, 2024. The appointment was formalized on the same date according to a recent SEC 8-K filing.
Mr. Essaid, 57, brings over three decades of experience in global investment banking, specializing in advisory services for mergers and acquisitions (M&A) and capital markets transactions.
His previous roles include various senior positions at Barclays from 2021 to 2024, most notably as global head of M&A. Before Barclays, Essaid served as a managing director at Credit Suisse and a partner at Perella Weinberg Partners. He holds an MBA from Columbia Business School and a bachelor's degree from Hobart College.
Under the terms of the employment agreement dated Wednesday, July 17, 2024, Mr. Essaid will receive an initial annual base salary of $900,000 with a target annual bonus of 125% of his base salary. His compensation package also includes a signing bonus of $3 million, subject to repayment conditions if employment is terminated under certain circumstances.
The agreement outlines potential salary increases and bonus adjustments tied to the company's annualized revenue run rate, with thresholds ranging from $5 billion to greater than $30 billion. Additionally, Essaid's employment package includes equity-based incentives, healthcare benefits, and certain restrictive covenants.
In the event of termination without cause or resignation for good reason, Essaid is entitled to severance benefits, including a cash payment equivalent to 12 months of his annual base salary and a prorated target bonus for the year of termination, among other benefits. These terms are subject to his execution of a release of claims in favor of the company.
The employment agreement also provides for the grant of restricted stock units (RSUs) and performance-based restricted stock units (PSUs), with specific vesting schedules and performance goals related to the company's total stockholder return compared to the S&P 500 Index.
QXO, Inc., incorporated in Delaware and headquartered in Greenwich, Connecticut, has undergone several name changes in its history, previously known as SilverSun Technologies, Inc., TREY Resources Inc., and TREY Industries Inc.
This executive move, as reported in the SEC filing, underscores QXO, Inc.'s commitment to strengthening its leadership team as it continues to navigate the competitive technology services industry.
In other recent news, QXO Inc. has announced a significant expansion of its executive team and board of directors, and its entry into the $800 billion building products distribution industry, supported by a $1 billion equity investment led by Brad Jacobs, the company's Chairman and CEO.
The newly appointed leadership team includes eight executives, among them Josephine Berisha and Joe Checkler, both previously of XPO, Inc. The board of directors now includes six new members from diverse professional backgrounds, including Jason Aiken from General Dynamics (NYSE:GD) and Marlene Colucci from The Business Council.
These recent developments also reveal QXO's strategic move to become a major player in the building products distribution industry, with Jacobs Private Equity II, LLC becoming the majority stockholder of SilverSun Technologies, Inc., now operating under the new name QXO. The company aims to achieve tens of billions in annual revenue over the next decade through acquisitions and organic growth.
InvestingPro Insights
As QXO, Inc. welcomes Ihsan Essaid to steer its financial strategy, the company's financial health and market performance become even more pertinent to investors. Reflecting on recent market data from InvestingPro, QXO's market capitalization stands at a modest $47.63 million, with a high Price / Book ratio of 6.26 as of Q1 2024, indicating the stock may be valued more for its potential growth or intangible assets than its current net asset value. Despite not being profitable over the last twelve months, the company holds more cash than debt, which could provide a solid foundation for Mr. Essaid's financial maneuvers.
Investors may also take note of the significant return over the last week, with a price total return of 71.78%, a stark contrast to the 21.87% decline over the last month. The InvestingPro Tips highlight the stock's high price volatility, which could be a factor for traders looking for short-term gains but may also require caution for those seeking long-term investment stability. With a noteworthy return of 217.21% over the last year, QXO's stock has demonstrated the ability to deliver strong returns, although its performance has been mixed in the short term.
For those interested in delving deeper into QXO's financials and stock performance, additional InvestingPro Tips are available, offering comprehensive analysis and guidance. To explore these insights and optimize your investment strategy, use coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription at https://www.investing.com/pro/QXO. With these resources at hand, investors can better assess how the new CFO's expertise might influence QXO's trajectory in the competitive technology services sector.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.