LiveRamp Holdings, Inc. Liquidation Value

LiveRamp Holdings (RAMP) is a software-as-a-service data collaboration platform with essentially no tangible asset base worth recovering in a wind-down scenario. As of December 31, 2025, total assets of $1.27B are dominated by goodwill ($502M, 40% of total assets) and other intangibles ($12M net), both zeroed under liquidation haircuts. The largest recoverable asset pool is cash and cash equivalents of $396M (100% recovery) plus short-term investments of $7.5M (CDs, near-par), plus trade AR of $219M gross ($211M after 90-95% haircut at the midpoint). Property, plant and equipment net book value is minimal at $5.5M; applying a 60% haircut yields approximately $3.3M. Other current assets ($47M) and prepaid expenses ($29M) carry negligible liquidation value. Deferred tax assets ($2.1M) are zero-value in liquidation given full valuation allowance on the DTA base.

On the liability side, current liabilities total $250M and include accounts payable ($124M), accrued employee liabilities ($36M), other accrued liabilities ($44M), and deferred revenue ($46M). Deferred revenue does not extinguish on wind-down — refunds or claims from customers remain. Noncurrent liabilities total $56.9M and include a $32.2M unrecognized tax position liability (not predictable in timing but must be treated at face value), operating lease obligations with a $31.2M present value ($34.7M undiscounted), and a $1.4M noncurrent restructuring reserve. Total operating lease undiscounted obligations stand at $34.7M. Purchase commitments of $32.1M (data, hosting, SaaS) are executory contracts but would need termination settlements in a wind-down; the filing does not tag these as balance sheet liabilities, but they represent off-balance-sheet obligations that reduce net recovery.

Approximate liquidation math: Recoverable assets — cash $396M + ST investments $7.5M + AR ~$207M (95% of $218M net) + PP&E ~$3M + other small items ~$5M = ~$618M gross recovery. Face-value liabilities — current liabilities $250M + noncurrent liabilities $57M + lease undiscounted obligations $35M = ~$342M. Rough residual to equity: ~$276M, before accounting for executory contract termination costs, severance, liquidation expenses, and contingent litigation exposure (California class action filed January 2025, unquantified). MFFAIS reports an operating liquidation value of $342.8M, which appears to use a higher AR recovery and excludes some noncurrent obligations. The goodwill balance of $502M produces zero recovery and represents the single largest structural driver of the gap between book equity ($962M) and liquidation recovery. The valuation allowance on deferred tax assets, maintained despite emerging profitability, means no tax asset recovery. The filing discusses a potential valuation allowance release in MD&A as reasonably possible within 12 months, but this is a going-concern event, not a liquidation-relevant item. Compared to the prior quarter (September 30, 2025), cash increased from $369M to $396M driven by strong Q3 operating cash flow ($67M in the quarter), offset by $39M in buybacks in Q3 alone. AR grew from $217M to $219M. No new debt was added. Purchase commitments grew from $29.5M to $32.1M, a modest increase in forward obligations. Operating lease tail is nearly identical to prior quarter ($37.3M vs. $34.7M undiscounted — the reduction reflects one quarter of payments). The litigation exposure (Riganian class action) is unquantified and not separately XBRL-tagged; it appears in MD&A and Note 14 as a contingent liability with no accrual disclosed.