Assets Held for Sale and Discontinued Operations

12 Months Ended

Nov. 30, 2024

Discontinued Operations and Disposal Groups [Abstract]

Assets Held for Sale and Discontinued Operations

Note 5. Assets Held for Sale and Discontinued Operations

Foursight

On November 20, 2023, we entered into an agreement to sell

Foursight. Assets held for sale are recorded initially at the lower

of their carrying value or estimated fair value, less estimated

costs to sell. Upon designation as an asset held for sale, we

discontinue recording depreciation expense on such asset.

Foursight’s major classes of assets and liabilities:

$ in thousands	November 30, 2023
Assets held for sale:
Cash and cash equivalents .....................................................................	$3,555
Other receivables ......................................................................................	1,478
Premises and equipment, net .................................................................	1,175
Operating lease assets ............................................................................	7,635
Goodwill (1)................................................................................................	24,000
Other assets (2) ........................................................................................	928,808
Total assets held for sale ........................................................................	$966,651
Liabilities held for sale:
Other secured financings .........................................................................	$700,615
Lease liabilities ..........................................................................................	8,821
Accrued expenses and other liabilities ..................................................	11,503
Long-term debt ..........................................................................................	149,262
Total liabilities held for sale ...................................................................	$870,201

(1)Goodwill was allocated based on the relative fair values of the applicable

reporting units prior to being reclassified as held for sale.

(2)Includes $850.8 million of automobile loan receivables and $42.1 million in

deposits required under Foursight’s warehouse credit facilities and amounts

collected on pledged automobile loan receivables yet to be distributed.

During 2024, we closed the sale of Foursight and recognized a

gain on sale of $24.2 million, which is included within Other

revenues.

OpNet

We classified certain net operating assets of OpNet as held for

sale in our Consolidated Statements of Financial Condition at

November 30, 2023. The net operating assets that were

classified as held for sale were recognized at their estimated fair

values pursuant to the step-acquisition accounting related to our

interests in OpNet. Refer to Note 4, Business Acquisitions for

further information.

The major components of the held for sale assets and liabilities

in the disposal group primarily consisted of intangible assets

relating to radio frequency networks, customer relationships and

other branding rights. The liabilities held for sale consisted

primarily of OpNet’s outstanding publicly listed notes. The fair

value of the intangible assets was based on the estimated sale

price of the disposal group and the fair value of the publicly listed

notes were based on observations of quoted transaction prices.

Effective with the designation of the disposal group as held for

sale, we suspended recording depreciation of property, plant and

equipment and amortization of finite-lived intangible assets and

right-of-use assets while these assets were classified as held for

sale.

The activities of OpNet’s wholesale operations have been

classified as discontinued operations for the year ended

November 30, 2024 and OpNet’s results are presented in Net

earnings (losses) from discontinued operations (including gain

on disposal), net of tax.

In February 2024, we agreed to sell substantially all of OpNet’s

wholesale operating assets. The sale closed in August 2024.

Airplanes

During 2024, we classified certain airplanes related to sale

leaseback transaction executed by our subsidiary, Aircadia

Leasing II LLC as held for sale. The airplanes are included within

Assets held for sale on our Consolidated Statements of Financial

Condition and have a carrying amount of $51.9 million at

November 30, 2024. We are actively pursuing avenues to dispose

of the airplanes through a sale process. Effective with the

designation of the airplanes as held for sale, we suspended

recording depreciation on these assets.