QXO Inc. said it sent a letter to GMS Inc. proposing to buy the building products distributor for about $5 billion.

You’ve heard of Home Depot. But have you heard of QXO, a relatively new company in the building supplies industry? Probably not. That could soon change. There’s a chance that QXO may go toe to toe with the mighty home improvement retailer in a bidding war for materials distributor GMS.

Billionaire Brad Jacobs' new building-products distributor QXO made an offer on Wednesday to acquire GMS for about $5 billion in cash and said it will proceed with a hostile takeover if the company's management rejects the proposal.