Eversheds will continue to search for a US deal after the firm’s top target, Milwaukee-based Foley & Lardner, ended merger discussions last month via a leaked internal memo.
In the memo, Foley chair and chief executive Jay Rothman said that while there had been preliminary conversations around exploring a more formal affiliation between the two firms, ‘no decision was ever made by Foley to pursue such an affiliation’.
Rothman added: ‘We have advised Eversheds that we are not interested in engaging in further discussions on that topic. Notwithstanding that decision, we remain committed to our strategic objective of expanding the global reach of our firm to better serve our clients.’
Although Eversheds will continue to work with Foley as a US referral partner, those inside the firm say the mood is wary, with partners, especially those dealing directly with getting a US deal, feeling raw after the public end to the discussions. However, it is understood both firms were still far from reaching a shared vision.
Speaking to Legal Business, one senior partner at Eversheds said the firm would carry on with the US strategy regardless.
‘It is well publicised in terms of what we want to achieve and the US is a big part of that. We will carry on at our pace and do what we think is right.’
‘It is well publicised in terms of what we want to achieve and the US is a big part of that. We carry on with our strategy really. We will carry on at our pace and do what we think is right.’
No timeline for completion of a deal has been set, but with this recent setback, it looks a long way off, especially as Eversheds will need to decide whether to reignite any old discussions with other firms. Eversheds had narrowed the choice to two firms, of which Foley was one, and was not speaking to a number in parallel.
At the time, Eversheds said in a statement: ‘We have made our position clear. While we appreciate that there will be speculation on our progress, a number of options remain open to us.’
Eversheds is looking for a full-service offering and a New York presence in the US. A strong corporate team is also important.
kathryn.mccann@legalease.co.uk