Legal Business

The onslaught continues: Paul Weiss raids Kirkland again to hire City IP partner

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Strategic recruitment Kirkland & EllisPaul, Weiss, Rifkind, Wharton & Garrison

Just when the market thought Paul Weiss had eased up on its hiring spree in the run-up to Christmas, the firm has hired John Patten, a partner in the London technology and intellectual property (IP) transactions practice of Kirkland & Ellis.

The move sees the Wall Street giant continue to pursue with gusto the build-out of the English law practice that has gathered momentum in short order, much to the chagrin of the management of Kirkland and Linklaters, among others.

For his part, Patten, who is joining Paul Weiss as a full equity partner, has been a partner at Kirkland since October 2021, before which he was a trainee, and subsequently an associate at Linklaters.

His practice focuses on advising clients on commercial and corporate transactions in which technology and IP play a role, as well as advising on data protection compliance with European data privacy laws.

The hire brings Paul Weiss another step closer to establishing a top-flight corporate practice to complement the formidable finance practice brought over from Kirkland in August by rainmaker Neel Sachdev.

Sachdev, along with private equity star Roger Johnson who defected from Kirkland around the same time, are co-leading Paul Weiss’ London office. The M&A offering also includes former Linklaters partner Will Aitken-Davies and former Kirkland partner Andreas Philipson.

If the strategy for Paul Weiss in London is to eventually be able to service all areas of private equity, the plan certainly seems to be coming together.

nathalie.tidman@legalease.co.uk

Legal Business

One in, one out: Deal star Johnson to exit Kirkland as Membrillera joins from Paul Weiss

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Strategic recruitment Kirkland & Ellis

Roger Johnson, among the first wave private equity stars to defect to Kirkland & Ellis from the Magic Circle, has left the Chicago powerhouse’s London office.

The move was quickly followed by news that Kirkland has hired the well-respected private equity partner Alvaro Membrillera from Paul Weiss in the City, where he was London managing partner.

Johnson, a leading individual for high-value private equity according to The Legal 500, was Linklaters’ influential Nordic dealmaker when his departure in 2015 for Kirkland sent shockwaves around the market.

He was believed to have joined Kirkland on a $5m package after turning down an offer from White & Case and had as a key client Swedish private equity house EQT.

Johnson made the move from Linklaters to Kirkland hot on the heels of rising star Matthew Elliott the same year. His move also prompted other corporate partners to leave Linklaters, including the high-profile David Holdsworth and Stuart Boyd.

A spokesperson for Kirkland said: ‘We do not comment on personnel matters.  But we can confirm that Roger Johnson is no longer affiliated with the firm.  We wish him well in his future endeavours.’

For his part, Membrillera acts for private equity firms and their portfolio companies on cross-border M&A and leveraged transactions across Europe.

Jon Ballis, chair of Kirkland’s executive committee said of the hire: ‘Alvaro is one of Europe’s top private equity lawyers with substantial experience leading complex cross-border transactions for sophisticated financial sponsors. We’re very pleased that the Kirkland platform continues to attract leading talent like Alvaro, particularly in Europe, which is one of our fastest growing markets.’

nathalie.tidman@legalease.co.uk

Legal Business

Feeling the chill? Kirkland reports just 8% revenue increase for 2022

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Financial results 2022/23 Kirkland & Ellis

Often the bellwether for global law firm financials, the world’s highest-grossing firm, Kirkland & Ellis, has posted muted revenue and profit growth for 2022, with turnover up 8% and partner profits up just 2% – its slowest performance year-on-year for some time. 

Kirkland made major waves in the legal sector last year, when a 25% surge in revenue saw it become the first law firm to pass the $6bn revenue mark. Its 2022 financials show a further increase, though a more modest one, with a steady rise of 8% to $6.5bn. This more modest growth was also evident in PEP, which went up 2% to $7.5m, after jumping 19% to $7.4m in 2021. Revenue per lawyer, meanwhile, declined 5%, to $1.9m.  

The firm’s increase in headcount partially explains these figures. The firm’s total number of lawyers rose by 13% in 2022, compared to 11% the previous year. The largest growth was in the number of non-equity partners, which went up 16% to 881 – the firm announced a record 193 partner promotions in October 2022 – a 28% increase on 2021. Meanwhile, the number of associates increased by 15% to 2,029, while the number of equity partners grew just 3%, to 505. These overall increases come despite two rounds of cuts to its lawyer headcount, in autumn 2022 and after performance reviews in spring 2023. 

While less impressive than its landmark 2021 results, Kirkland’s 2022 financials remain healthy at a time when a global slowdown in transactional work has seen some international firms post declines. Private equity, a core practice area for Kirkland, cooled down after a roaring 2021, though many in the market believe that a combination of significant cash reserves held by investors and more favourable economic indicators will soon produce a bounceback, and firms continue to make hires in the area, both in London and globally.  

Kirkland was also active in the London lateral hiring market over the last year, with recruiter Fox Rodney reporting 14 partner-level hires in calendar year 2022, leaving it as the most active US firm and the second-most active firm overall, behind Eversheds Sutherland. However, it was also second in London partner departures, with eight, behind Brown Rudnick’s 10.  

alex.ryan@legalbusiness.co.uk  

Legal Business

Partner promotions: Kirkland unveils largest ever class as US firms reveal 2022 cohorts

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Partnership promotions Kirkland & Ellis

The first wave of US firms has announced their latest round of partner promotions, as Kirkland & Ellis, White & Case, Goodwin, Morgan Lewis and Covington & Burling revealed their classes of 2022.

Kirkland & Ellis has minted 193 lawyers in a new record for the expansive juggernaut, following the 151-strong round announced last year and the 145 promotions unveiled in 2020.

Legal Business

Welcome to Miami: Kirkland and Winston open in Florida as Willkie targets Frankfurt capital markets

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Office openings Kirkland & EllisWinston & Strawn

Winston & Strawn and Kirkland & Ellis have boosted their profiles on the US east coast by opening Miami offices, while Willkie Farr & Gallagher has continued its recent expansion in Frankfurt by establishing a capital markets practice.

Fresh off the back of becoming the first law firm to surpass $6bn in annual global revenue, Kirkland is looking to use the new Miami office to further its goal of attracting the best legal talent.

Corporate partners Jeremy Liss, Matthew Arenson, Jeffrey Swatzell (all Chicago) and Eduardo Leal (New York) are to launch the practice, which is set to open its doors this summer.

Jon Ballis, chairman of the executive committee, commented: ‘We are excited about the opportunity that Miami offers: a vibrant and growing business community where talent and capital are moving at a rapid pace. Kirkland’s ability to attract, train and retain the best legal talent is key to our continued success, and being present where that talent wants to be is critical.’

In April it was revealed that the Chicago-bred powerhouse had added $1.2bn to its top line to remain the world’s highest grossing law firm, as turnover surged 25% from $4.83bn to $6.042bn.

Profit per equity partner (PEP) also spiked 19%, increasing from $6.2m to $7.38m and revenue per lawyer also saw double-digit growth, from $1.8m to just shy of $2m.

Meanwhile, Winston & Strawn’s new office marks the firm’s largest expansion in five years. It will be initially staffed by six new lateral recruits. M&A partner Enrique Martin has joined from Jones Day and is to lead the office, while commercial litigators David Coulson and Gustavo Membiela have come over from Greenberg Traurig and Hunton Andrews Kurth respectively. Richard Puttré from Hogan Lovells will chair the Latin America projects group while Kimberly Prior and Daniel Stabile have joined from Shutts & Bowen to collectively lead the digital assets and blockchain technology team.

Enrique Martin said: ‘Miami’s unique position as a magnet for capital from across the globe makes it a vibrant forum for complex transactional and litigation work. Winston has an outstanding reputation in both areas. I am proud to be one of the initial partners of Winston in Miami, and I look forward to contributing to the office’s rapid growth and success.’

Talbert Navia, co-head of Latin America, added: ‘As supply chain issues continue to drive the need for cross-border trade with Latin America, we are seeing a corresponding need for clarity on a wide range of matters related to regulation, litigation, and capital flows. Miami represents the ideal location from which to address these and other business challenges on behalf of clients across the Americas.’

Elsewhere, Willkie has expanded its capital markets practice into its Frankfurt office.

Simon Weiss and Joseph Marx have joined the firm to lead the new offering, having previously worked at McDermott Will & Emery. Weiss, who has experience working in Germany and the US, advises on IPOs, equity-linked transactions and investment grade and high-yield bond offerings. Marx’s expertise include accelerated primary and secondary offerings, Rule 144A transactions, US registered offerings and private placement transactions.

The arrivals are the latest in a spree of hires in the region that has seen the New York-led outfit bring in over ten partner and counsel laterals in recent years.

Frankfurt lead, Georg Linde, said: ‘In the space of only two years we have added a number of new practices to our German offering, including real estate, litigation, restructuring, employment and regulatory law, while continuing to expand our private equity and M&A capabilities. Simon and Joe are well-known and talented practitioners. They will serve as the core of our new German capital markets practice, which will be a valuable resource to the expanding needs of our clients in Germany and across the firm.’

charles.avery@legalease.co.uk

Legal Business

Kirkland shortens equity track as it wages intensified war for talent

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Partnership Kirkland & Ellis

Kirkland & Ellis has shortened its path to equity partnership by a year in another audacious move that will doubtless make rivals sit up and take notice.

The move means that its most-talented lawyers will now be considered for equity partnership nine years out of law school, rather than 10.

The Chicago-bred firm has an unusual model in that it makes up large ranks of salaried partners on a fast track with associates able to make salaried partner six years after qualification – bucking the wider trend of pushing back promotions on a more opaque career track. Admission to the tightly-held equity will now be considered three years into non-equity partnership.

An internal firm memo circulated yesterday (1 December) stated: ‘Given the talent of our partnership and the increased responsibilities and experience gained in today’s environment, we believe that consideration for equity a year sooner is appropriate.’

In April, Kirkland said it had added $680m to its top line to beat Latham & Watkins yet again to remain the world’s highest-grossing law firm, as global turnover surged 16% to $4.83bn.

Profit per equity partner (PEP) hit $6.2m, up 19% on the $5.2m for 2019 even as Kirkland’s headcount grew 5% in 2020 to 2,725 lawyers. Revenue per lawyer increased 11% from $1.6m to around $1.8m.

The firm does not disclose regional breakdowns but London was believed to have substantially outpaced global growth at around 29%, growing revenue from $425m to roughly $550m.

In October, Kirkland again broke its own partnership promotion record, making up 151 globally and 19 in London. As with last year when the Chicago-bred giant outpaced itself with 145 global promotions and 16 in the City, the move continued an ascent that shows no signs of being thwarted by coronavirus concerns or any other.

nathalie.tidman@legalbusiness.co.uk

Legal Business

Kirkland breaks own record again to make up 151 new partners and 19 in London

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Partnership promotions Kirkland & Ellis

With the boldness the market has come to expect from the world’s highest-grossing law firm, Kirkland & Ellis has again broken its own partnership promotion record, making up 151 globally and 19 in London.

As with last year when the Chicago-bred giant outpaced itself with 145 global promotions and 16 in the City, the move continues an ascent that shows no signs of being thwarted by coronavirus concerns or any other.

In London, four new partners have been added in M&A/private equity: Henry Birch; Nick-Raj Birdi; James Hunn and Cillian Moynihan, while three have been promoted in debt finance – Stefan Arnold-Soulby; Kanesh Balasubramaniam and James Collins.

Restructuring has seen three partner promotions in Ian Clarke, Hannah Crawford and Kai Zeng and investment funds has two new partners – Agne Eriksson and Katerina Syomina.

Antitrust and competition has added two in the form of Philipp Gnatzy and Athina Van Melkebeke with financial services regulatory partner Zach Milloy also making the grade, along with technology and IP transactions lawyer John Patten, IP transactions lawyer Peter Pereira, tax lawyer Art Ward and capital markets attorney Samita T. Ali-Khan.

Perhaps the most pressing matter on the minds of law firm leaders is the thorny issue of talent retention in a post-pandemic market where careers are more fluid than ever.

However, the now 2,900-lawyer firm has an unusual model in that it makes up large ranks of salaried partners before considering promotions to its tightly-held equity. Operating a fast track, associates can make salaried partner six years after qualification – bucking the wider trend of pushing back promotions on a less clear career track.

The rest of Kirkland’s new partners have been made up in the firm’s global offices spanning Austin, the Bay Area, Boston, Chicago, Dallas, Hong Kong, Houston, Los Angeles, Munich, New York, Paris and Washington DC.

The promotions coincided with Kirkland’s announcement that it has hired Linklaters partner Julia Dixon to its financial services regulatory practice in London.

In April, Kirkland said it had added $680m to its top line to beat  Latham & Watkins yet again to remain  the world’s highest-grossing law firm, as global turnover surged 16% to $4.83bn.

Profit per equity partner (PEP) hit $6.2m, up 19% on the $5.2m for 2019 even as Kirkland’s headcount grew 5% in 2020 to 2,725 lawyers. Revenue per lawyer increased 11% from $1.6m to around $1.8m.

The firm does not disclose regional breakdowns but London was believed to have substantially outpaced global growth at around 29%, growing revenue from $425m to roughly $550m.

nathalie.tidman@legalease.co.uk

Legal Business

Following Brexit: Kirkland bolsters antitrust ambitions with Brussels office launch

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Office openings Kirkland & Ellis

Kirkland & Ellis has nailed its European antitrust ambitions to the mast in the wake of the UK’s exit from the European Union to launch an office in Brussels.

Never normally one to be late to the party, the Chicago-bred giant has followed in the footsteps of several peers, many of which have operated a Belgian branch for decades, except notably Simpson Thacher, which in February opened up shop in the competition capital of Europe, to better serve its roster of heavyweight private equity clients.

Kirkland’s new outpost will be led by up and coming partner Thomas Wilson who joined the firm in 2018 having been a counsel at Freshfields Bruckhaus Deringer and has since made a name for himself in the fast-moving world of multi-jurisdictional antitrust matters.

The move will see Wilson relocate from London to Brussels and the new office will initially be staffed by personnel out of the City. It has become clear, especially in the last two years, that the heightened demand from clients in the face of the EU’s ramping up of merger control legislation has made a move to Brussels impossible to ignore.

In April, Kirkland announced it had added $680m to its top line to beat Latham & Watkins yet again as the world’s highest-grossing law firm, as global turnover surged 16% to $4.83bn.

Underpinning that stellar performance largely was a private equity bonanza that saw dealmakers recalibrate and make up for lost time in 2020 after a hiatus in the wake of the coronavirus pandemic.

Profit per equity partner (PEP) hit $6.2m, up 19% on the $5.2m for 2019 even as Kirkland’s headcount grew 5% in 2020 to 2,725 lawyers. Revenue per lawyer increased 11% from $1.6m to around $1.8m.

nathalie.tidman@legalease.co.uk

Legal Business

Kirkland closes in on $5bn revenue as it remains world’s highest-grossing firm

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Financial results 2020/21 Kirkland & Ellis

Kirkland & Ellis has added $680m to its top line to trounce Latham & Watkins yet again as the world’s highest-grossing law firm, as global turnover surged 16% to $4.83bn.

The Chicago-bred giant had a significant uptick in private equity work to thank for its stellar 2020 results, which saw revenue surge from $4.15bn in 2019.

Profit per equity partner (PEP) hit $6.2m, up 19% on the $5.2m for 2019 even as Kirkland’s headcount grew 5% in 2020 to 2,725 lawyers. Revenue per lawyer increased 11% from $1.6m to around $1.8m.

The firm does not disclose regional breakdowns but London is believed to have substantially outpaced global growth at around 29%, growing revenue from $425m to roughly $550m.

The private equity bonanza came as dealmakers made up for lost time after a hiatus in the wake of the coronavirus pandemic, while restructuring, M&A and litigation all performed well.

Kirkland was noticeably more frugal on the lateral partner front in London in 2020, only adding one to its partnership in the form of Linklaters tax lawyer Mavnick Nerwal. However, the firm is unsurprisingly still the market leader in the number of promotions it makes, year after year smashing its own records.

Kirkland’s culture is underpinned by an unusual model that sees large ranks of salaried partners made up before being admitted to its tightly-held equity. Operating a fast-track system, associates can make salaried partner six years after qualification – bucking the wider trend of pushing back promotions. In that vein, 19 lawyers were made up, including three lateral promotions, a number which far outstripped the conservative market at large.

Observers have grown accustomed to the two-horse race between Kirkland and Latham to become the world’s highest grossing law firm. Last month, Latham reported its third consecutive year of double-digit growth as its revenue surged 15% to $4.33bn and PEP hit $4.52m. Latham’s 20% uptick in London turnover meant the City office now generates in the region of $540m.

nathalie.tidman@legalease.co.uk

Legal Business

Relentless as ever: Kirkland surpasses own record to promote 145 new partners and 16 in London

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Partnership promotions Kirkland & Ellis

 In characteristic ‘retrenchment be damned’ fashion, Kirkland & Ellis has beaten its own record for the number of partners it promotes, making up 145 globally and 16 in the City. 

The move sees the world’s highest-grossing law firm continue its striking ascent even in the face of coronavirus uncertainty to add four to last year’s 141-strong total, of which 16 were in London.

In London, five of the new partners are in investment funds: Alex Brodkin; Gloria Ho; James King, Sophie Smith and Tana Wilner, while four are in M&A/private equity –Dan Clarke, Adrian Duncan, Rachel Greenhalgh and Daniel McMann. 

Debt finance has seen a three-strong cohort in Lloyd Jones, Sam Sherwood and Alexander van der Gaag and tax has two new partners: Cian O’Connor and Sam Trowbridge. 

Competition and financial services regulatory have one apiece – Shane Cranley and Thomas Woodhead respectively. 

The 2,700-lawyer firm has an unusual model in that it makes up large ranks of salaried partners before considering promotions to its tightly-held equity. Operating a fast track, associates can make salaried partner six years after qualification – bucking the wider trend of pushing back promotions. 

Kirkland’s London arm now generates around $425m and its current level of promotions dwarf comparable rates at top London firms by a long way. 

As with last year, the rest of Kirkland’s new partners have been made up in the firm’s global offices spanning Boston, Chicago, Dallas, Hong Kong, Houston, Los Angeles, Munich, New York, San Francisco and Washington DC. In addition, it has also promoted one partner in Shanghai to its litigation practice. 

The Chicago-bred giant in March revealed it had added $390m to its top line to beat Latham & Watkins once again as the world’s highest-grossing law firm, as global turnover surged to $4.15bn, while profit per equity partner (PEP) reached $5.2m. 

nathalie.tidman@legalease.co.uk