Onex’s $1.2B Ryan Specialty Exit: A Masterclass in Value Creation

TORONTO, ON – December 08, 2025 – In a move that punctuates one of the decade's most successful private equity plays in the financial services sector, Onex Corporation has officially completed its exit from Ryan Specialty Holdings, Inc. The sale of its final 4.1 million shares not only closes a seven-year chapter but also locks in staggering returns: total proceeds of $1.2 billion on a $305 million investment, equating to a 3.8x multiple of capital and a remarkable 49% internal rate of return (IRR).

This final divestment is more than just a lucrative transaction; it’s a powerful case study in strategic partnership, market timing, and disciplined value creation. For Onex, it represents a monumental win that will fuel its next wave of investments. For Ryan Specialty, it marks the final step in its evolution into a fully independent public market leader. And for the broader market, it shines a spotlight on the immense opportunities brewing within the complex world of specialty insurance.

A Blueprint for Private Equity Value Creation

Onex's journey with Ryan Specialty began in June 2018 with an initial investment of $175 million. This wasn't a simple buy-and-hold maneuver. It was the start of a deep, strategic partnership. Onex provided not just capital but also board-level guidance, with its CEO, Bobby Le Blanc, taking a seat on Ryan Specialty’s board. This hands-on approach was crucial, particularly in 2020 when Onex provided an additional $110 million to help finance Ryan Specialty's transformative acquisition of All Risks, Ltd., a move that significantly scaled its operations and market footprint.

The exit strategy was as meticulously planned as the initial investment. Rather than flooding the market post-IPO, Onex executed a phased, multi-year realization. The first major liquidity event came during Ryan Specialty’s blockbuster IPO in July 2021, which netted Onex approximately $490 million. This was followed by a significant secondary sale in May 2023, generating another $355 million as Ryan Specialty’s stock continued its impressive climb. The final $226 million sale this month completes the picture, demonstrating a patient and disciplined approach to maximizing shareholder value.

“I am profoundly grateful to Founder and Chairman Pat Ryan, CEO Tim Turner and the entire Ryan Specialty team for their partnership and the tremendous amount of value they have created for all shareholders,” said Bobby Le Blanc in a statement. “It has been a privilege to work with them for the last seven years as they grew and cemented their position as a market leader.”

The Engine of Growth: Riding the Specialty Insurance Wave

The phenomenal success of this investment was not accidental; it was built on a keen understanding of powerful secular trends reshaping the insurance industry. Ryan Specialty operates in the heart of the Excess & Surplus (E&S) market, a dynamic sector that thrives on complexity. As the world grapples with escalating and novel risks—from catastrophic weather events and cyber warfare to complex liability and technological disruption—the demand for specialized insurance solutions has exploded.

Traditional insurers are often unwilling or unequipped to underwrite these high-hazard risks, creating a void that specialists like Ryan Specialty are perfectly positioned to fill. Acting as both a wholesale broker and a managing underwriter, the company provides the niche expertise, product development, and distribution channels that retail agents and carriers need to navigate this challenging landscape. The hardening of the broader insurance market in recent years has only accelerated this shift, pushing more business into the E&S space and directly benefiting market leaders.

Ryan Specialty’s performance since its IPO validates this thesis. Debuting at $23.50 per share in 2021, its stock has more than doubled, with Onex's final shares selling for $54.50. This sustained growth reflects deep investor confidence in its business model and its ability to capitalize on the enduring demand for specialized risk mitigation.

A New Chapter of Independence

With Onex's final divestment, Bobby Le Blanc is retiring from the Ryan Specialty board, symbolically severing the final tie to its private equity origins. This transition marks a pivotal moment in the company's lifecycle, signaling its full maturation into a self-sufficient public entity. The training wheels are off, and the company is now navigating the market on its own formidable strength.

This evolution was clearly a mutual goal. Patrick G. Ryan, the firm's iconic founder and Chairman, acknowledged Onex’s critical role, stating, “We also thank Onex for investing in Ryan Specialty prior to our IPO. That investment assisted us at an important time in our growth trajectory and proved to be immensely profitable for Onex as well.” The amicable parting underscores a successful partnership that achieved its objectives for both sides.

For investors and industry observers, Ryan Specialty's independence solidifies its status as an institutional-grade industry pillar. Its governance structure now reflects a diverse public shareholder base, and its strategic direction is firmly in the hands of the management team that, with Onex's backing, engineered its impressive growth.

Capital Recycled: What's Next for Onex?

For Onex, the $1.2 billion windfall is not an end point but a new beginning. With approximately $57.2 billion in assets under management and a fresh infusion of capital, the firm is well-positioned to hunt for its next major success story. Onex's recent activities suggest a continued, and perhaps even deepening, interest in the financial services and insurance technology sectors.

The firm recently announced a strategic partnership with insurance giant AIG, which will allocate $2 billion to Onex's private equity and credit strategies. Furthermore, an Onex fund is in the process of acquiring Integrated Specialty Coverages, a tech-enabled insurance platform. These moves indicate that Onex is leveraging its expertise from the Ryan Specialty investment to identify and back the next generation of innovators in the space.

The capital realized from this exit will be recycled, fueling new acquisitions, supporting existing portfolio companies, and ultimately driving the next cycle of value creation. It's a textbook example of how a successful exit does more than just reward past decisions; it provides the dry powder for future innovation and disruption, ensuring the cycle of growth continues.