Assets and Liabilities Held For Sale

6 Months Ended

Jun. 30, 2021

Discontinued Operations and Disposal Groups [Abstract]

On May 26, 2021, the Company entered into an agreement to sell its Insurance brokerage business to The Ardonagh Group, subject to receipt of the required regulatory approvals and satisfaction of other closing conditions and approval, for $500 million of cash consideration, subject to adjustments for working capital and other certain closing adjustments. As of June 30, 2021, the Company’s Insurance brokerage business met the criteria to be classified as held for sale. As the business has met this criteria, the Company is required to record the respective assets and liabilities at the lower of carrying value or fair value less any costs to sell, and present the related assets and liabilities as separate line items in the unaudited condensed consolidated statements of financial condition.

The following table presents information related to the major classes of assets and liabilities that were classified as held for sale in the Company’s unaudited condensed consolidated statements of financial condition as of June 30, 2021:


	June 30, 2021
Accrued commissions and other receivables, net	$	561,074
Cash segregated under regulatory requirements	274,107
Goodwill	69,725
Other intangible assets, net	56,031
Other assets	33,290
Cash and cash equivalents	28,571
Loans, forgivable loans and other receivables from employees and partners, net	14,496
Fixed assets, net	8,606
Other	2,959
Total assets held for sale	$	1,048,859

Accounts payable, accrued and other liabilities	$	839,872
Accrued compensation	10,233
Other	7
Total liabilities held for sale	$	850,112

No impairment charge was recorded for the three and six months ended June 30, 2021 as the carrying amount of the net assets was less than the fair value less costs to sell. Fair value was determined based on the sales price in the sales and purchase agreement. Further, the sale of the business did not represent a strategic shift that would have a major effect on operations and financial results and was, therefore, not classified as discontinued operations.