Financial results 2013: Burness Paull (minus the Williamsons) outstrips Scottish rivals with post-merger results

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In the first few months since its eye-catching merger at the beginning of December last year, Burness Paull has climbed the ranks to post revenue and profit growth that contrasts starkly with the fortunes of the traditionally elite Scottish firms in recent years.

The 57-partner firm, formed following the union of Burness in Edinburgh and Glasgow and Aberdeen’s Paull & Williamsons, recorded a turnover of £38.7m, up 59% on legacy firm Burness’ turnover last year of £24.3m. The firm has also rebranded as Burness Paull, dropping the Williamsons part of its post-merger name. Continue reading “Financial results 2013: Burness Paull (minus the Williamsons) outstrips Scottish rivals with post-merger results”

Comment: Hogan Lovells was right to get hitched. It needs to remember that

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I’m not a big fan of comparing law firm mergers to marriages. All those torturous metaphors and incongruous imagery. But in assessing the three-year old union between Lovells and Hogan & Hartson, it’s hard to escape the nuptial motif. The deal was forged amid high expectations and a simple analysis: both firms were better off together as neither looked compellingly positioned for an emerging elite of global law. Putting together a transatlantic merger of equals with two large firms that ranked just below the top tier in their respective markets made sense and was arguably a first for the profession. Continue reading “Comment: Hogan Lovells was right to get hitched. It needs to remember that”

Full speed ahead – Ashurst puts in place joint corporate structure as full integration looms

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As Ashurst proceeds headlong towards its October vote on full financial integration with Asia Pac’s Blake Dawson the firm has put in place a democratic corporate structure that sees current managing partner (MP) James Collis confirmed as global MP of the merged entity.

Many of the appointments are expected; Ashurst Australia’s managing partner John Carrington will retain that role, although more of a surprise is the fact that the senior partner title currently held by Charlie Geffen will disappear, to be replaced on a new-look joint board by an elected chairman and vice chairman, who must come from different legacy firms (a betting person might suggest Geffen and Ashurst Australia’s chairman Mary Padbury are naturals for the roles.) Continue reading “Full speed ahead – Ashurst puts in place joint corporate structure as full integration looms”

Financials update – Field Fisher Waterhouse pays the cost of merger mania

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After a turbulent year that saw it unsuccessfully attempt merger discussions with both Laurence Graham and Osborne Clarke, Field Fisher Waterhouse has unveiled a disappointing set of financial results, with revenues and PEP both down.

The firm posted a 2.5% drop in revenues to £95m, compared to £97.6m in 2012, while profit per equity partner has decreased by 7% on the figure published in the LB100 last year, from to £434,000 £402,000 – following a 16% drop in 2011/2012. Equity partner numbers are up slightly, from 41 to 46. Continue reading “Financials update – Field Fisher Waterhouse pays the cost of merger mania”

Hogan Lovells was right to get hitched. It needs to remember that.

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I’m not a big fan of comparing law firm mergers to marriages. All those torturous metaphors and incongruous imagery. But in assessing the three-year old union between Lovells and Hogan & Hartson, it’s hard to escape the nuptial motif. The deal was forged amid high expectations and a simple analysis: both firms were better off together as neither looked compellingly positioned for an emerging elite of global law. Putting together a transatlantic merger of equals with two large firms that ranked just below the top tier in their respective markets made sense and was arguably a first for the profession.

But, as we address this month, the problem with raising expectations is that you’ve then got to meet them. And on that yardstick the firm has faltered. Three years in Hogan Lovells is still struggling for growth, the gap between its profitability and other global 20 peers remains too wide and the break-through in transactional work is elusive.

Continue reading “Hogan Lovells was right to get hitched. It needs to remember that.”

The Asian century maybe but not the Asian decade for the Global 100

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The market for the world’s largest law firms remains as reliably turbulent as ever. The group as a whole eked out a 4% hike in revenues to generate $84.9bn, a figure slightly flattering underlying growth due to a handful of sizeable mergers – including the creation of Herbert Smith Freehills and King & Wood Mallesons. Revenue per lawyer was flat. In real terms, the world’s legal elite is once again modestly shrinking and headline income growth slowed in comparison to the 2011/12 year. Conditions remain considerably better than seen during 2009/10 but are a long way from pre-2008 boom years.

It has been another year that has re-enforced the overall dominance of US firms, largely due to the strength of the US economy and a delayed revival in contentious work. Of course, the relevant performance of UK advisers since 2008 looks considerably worse due to the sustained weaknesses of sterling and the euro but by any measure, the Magic Circle has lost some ground. Compared to their mid-2000s’ heyday, the profits gap against key New York rivals has again ballooned out, while a group of broad-service US rivals are now challenging their scale and global reach.

Continue reading “The Asian century maybe but not the Asian decade for the Global 100”

To soar or crash with an Asian giant

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If you are going to finally do a global merger, it would be fitting for one of the most distinctive City practices to hook up with the great outlier of the Global 100. That is what is on the agenda for SJ Berwin as it this summer mulls an outline deal to combine with King & Wood Mallesons (KWM), the ground-breaking union between the top commercial law firms in China and Australia.

And what an outlier KWM is. When large mergers happen in the profession, a received wisdom among clients and peers soon takes hold. But since KWM was formed in March 2012, creating a 2,100-lawyer Asia-Pacific giant, consensus has resolutely failed to emerge. For some, it is a world-beater with an unmatchable position in the most powerful economic region of the 21st century. For others, it is a desperate act by two firms who had saturated their domestic markets and faced the awkward reality that their businesses won’t easily go global. After all, Australian and People’s Republic of China law travels badly and the increasingly heavily-lawyered and fee-sensitive Asia-Pacific region is currently struggling to live up to expectations.

Continue reading “To soar or crash with an Asian giant”

Clyde & Co continues to reap benefits of Barlows merger with 17% hike in revenue

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Clyde & Co has posted a 17% hike in turnover for 2012-13 as the firm continues to reap the benefits of its 2011 merger with Barlow Lyde & Gilbert.

The insurance focussed firm’s revenues have increased from £287m in 2012 to £336.6m in 2013, amidst a sluggish prevailing European economy. According to chief executive Peter Hasson, without including Barlow’s revenues, Clyde & Co would have reported a single digit growth of around 6%. Continue reading “Clyde & Co continues to reap benefits of Barlows merger with 17% hike in revenue”

A giant’s first steps – Norton Rose Fulbright goes live with suitably comprehensive governance team

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One of the most touted legal mergers of the last decade today (3 June) goes live with Norton Rose and US partner Fulbright & Jaworski unveiling a full governance team for the combined practice.

Norton Rose Fulbright confirmed the make-up of its global executive committee and group-wide supervisory board, with Fulbright managing partner Kenneth Stewart joining the executive committee.

Five partners from the Houston-based law firm join the 20-strong executive body, with six members on the oversight team. Continue reading “A giant’s first steps – Norton Rose Fulbright goes live with suitably comprehensive governance team”

Norton Rose Fulbright announces global practice heads as Withers chair moves to New York

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Both Norton Rose and Withers have made changes to their senior management, with one entering a seven-day countdown to its full merger with Fulbright & Jaworski as the other regroups after talks with Speechly Bircham fell through last week.

Norton Rose Fulbright today announced its global practice heads for the firm’s three largest practice areas; corporate, banking and finance. Continue reading “Norton Rose Fulbright announces global practice heads as Withers chair moves to New York”