GoHealth exits Chapter 11 as New GoHealth, LLC; existing equity wiped out
Summary
GoHealth emerged from Chapter 11 bankruptcy today as a private company. Existing common stock is cancelled; former lenders own the new equity. Public shareholders get a small cash recovery.
Key Events · Legal and Risk Events · GOCO
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Chapter 11 Plan Effective
The prepackaged Chapter 11 plan became effective on July 21, 2026, converting GoHealth, Inc. into New GoHealth, LLC, a private company.
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Existing Equity Cancelled
All existing Class A and Class B common stock, along with equity awards, were cancelled. Holders of Allowed First Lien Claims received 100% of the new common membership interests.
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Public Shareholder Recovery
Holders of Allowed Class A common stock will receive a pro rata share of a $10.3 million cash equity recovery pool. Class B common stock was cancelled without any distribution.
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New Debt Facilities
The company entered into a $20M New Money Term Loan, a $173.9M Senior Takeback Facility, and a $588.3M Junior Takeback Facility, all maturing in five years.
Analysis · GOCO · Finance
Today, July 21, 2026, marks the effective date of GoHealth's prepackaged Chapter 11 plan, completing its conversion into a private limited liability company named New GoHealth, LLC. All previously outstanding common and preferred equity has been cancelled—except for Series A preferred, which was reinstated as new preferred interests—and former first-lien lenders now hold 100% of the new common equity. Existing Class A common stockholders will receive a pro rata share of a $10.3 million cash pool, a mere fraction of the company's prior value. The restructuring also includes a new $782 million exit financing package, consisting of a $20 million new money term loan, a $173.9 million senior takeback facility, and a $588.3 million junior takeback facility. A new board has been appointed, and the company intends to deregister its securities, suspending SEC reporting obligations. This final, binding step in the restructuring wipes out public shareholders and transfers control to creditors.
At the time of this filing, GOCO was trading at $0.30 on NASDAQ in the Finance sector, with a market capitalization of approximately $8.9M. This filing was assessed with negative market sentiment and an importance score of 10 out of 10.