Ryan Specialty Holdings, Inc. Liquidation Value

Ryan Specialty Holdings (RYAN) is an insurance wholesale brokerage operating under an Up-C partnership structure. Under a liquidation lens, the recovery posture is deeply negative, consistent with the MFFAIS CLV of approximately negative $9.0B. The balance sheet as of March 31, 2026 shows total assets of $11.0B against total liabilities of $9.8B, producing reported book equity of $1.2B (including $583M noncontrolling interest). However, virtually all of this apparent net asset value evaporates under liquidation haircuts.

Asset-side recovery is sharply constrained by composition. Goodwill of $3.2B and other intangibles of $127M recover at zero under standard liquidation assumptions, wiping out approximately $3.3B of carrying value. The right-of-use asset ($126M) and deferred tax assets ($306M) carry negligible-to-zero liquidation value. Cash and cash equivalents of $155M recovers at par, but $105M of that is fiduciary cash available for transfer to operating accounts; the remainder ($50M) is already allocated to corporate uses. Fiduciary cash held in a fiduciary capacity ($1.33B) and fiduciary receivables ($3.43B) are matched by fiduciary liabilities on the other side of the balance sheet and are not available to creditors or equity.

On the liability side, total funded debt (face) is $3.57B: Term Loan principal of $1.68B (floating at SOFR + 2.00%), $400M 4.375% Senior Secured Notes due 2030, and $1.2B 5.875% Senior Secured Notes due 2032 (issued in two tranches in Sep-Dec 2024). The filing states fair value of total debt at $3.26B versus carrying value of $3.57B. At liquidation, face value governs. The Tax Receivable Agreement liability stands at $460.8M (undiscounted) as of March 31, 2026, up from $459.0M at December 31, 2025, with $542M in total estimated tax savings to be shared 85/15. This obligation survives a wind-up and accelerates in a change-of-control scenario. Operating lease liabilities total $173M ($27M current, $146M noncurrent). Contingent consideration liability is $177.8M ($86.6M current, $91.2M noncurrent) with projected total cash outflows of $186M. Long-term incentive compensation (accrued against acquisitions) totals $31.3M with $70.9M total projected cash outflows.

Q1 2026 added $245.6M net revolving credit draws and $40M in share repurchases, while the revolving credit facility now has a $1.4B capacity (extended to July 2029). The Revolving Credit Facility balance is not separately broken out in XBRL but is embedded in the aggregate debt figures. No acquisitions closed in Q1 2026 versus $555.6M of acquisition spending in Q1 2025. Restructuring program ($160M total expected cost) is ongoing with $9.7M of charges in Q1 2026 and a $8.3M reserve balance. Filing discusses TRA liability extensively in MD&A but XBRL does not separately tag it; it is reflected in OtherLiabilitiesNoncurrent and related line items. Deferred compensation deferral obligations ($66.5M total: $8.6M current, $57.9M noncurrent) are also not separately XBRL-tagged.