Byfield’s Post

Looking ahead to 2025, all eyes are on whether the broader realignment amongst the mid-tier will take shape. With that in mind, ‘Are you considering a merger?’ seems to have become one of the number one questions firms expect to be asked by legal journalists. In my recent blog, I consider some of the key factors driving these decisions for firms. Have a read below.

The impending merger of Allen & Overy and Shearman & Sterling, coined A&O Shearman, signifies a substantial consolidation within Big Law megafirms. With nearly 4,000 lawyers and 800 partners across 48 offices worldwide and a combined revenue topping $3.5 billion, this merger garnered significant shareholder support, reflecting high expectations for its success. The merger aims to establish a legal powerhouse fluent in both US and English law, positioned to dominate major global markets. Behind the scenes, Leopard Solutions’ predictive Mergers and Acquisitions tool is dissecting the merger’s potential success, factoring in attorney patterns, merger history, and retention complexities. This thorough analysis equips firms with vital information to navigate the intricacies of the merger and ensure its success. Read our prediction of the success of the merger: https://lnkd.in/egzM8nAp #MergersAndAcquisitions #ShearmanSterling #AllenOvery #LegalNews

The details shared in this article are applied to law firm mergers or acquisitions of all sizes. Projected stats and information, And the actual results from previous mergers of similar size and scope to the ones you are interested in. With detailed stats on retention and attrition numbers over the years following the merger. All derived from tracking attorneys, law firms, and attorney movement for 20 years. This is one of the many great examples of how our industry leading data and intelligence reports are used for research and analysis to make informed and confident decisions.

Studies vary, but there is no denying that a significant number of businesses in the U.S. have heavy family involvement. Keeping the business in the family has several advantages. Who is more trustworthy than a close family member? However, the harsh reality is that many family businesses don’t survive. It can be hard to scale up a company when it remains solely within the family. This is where corporate mergers come into play. As the name suggests, a merger involves two or more businesses blending together to form a distinct legal entity. What is one potential advantage of this for a family business? Cutting costs. While it’s certainly not always the case, family businesses may comprise a smaller network. They may only have access to certain vendors and could lack negotiating power. A merger can improve this situation, significantly reducing costs. Do you own a family business with an eye for long term survival? Reach out to our team to discuss the future: mark@stlawfirm.com

Studies vary, but there is no denying that a significant number of businesses in the U.S. have heavy family involvement. Keeping the business in the family has several advantages. Who is more trustworthy than a close family member? However, the harsh reality is that many family businesses don’t survive. It can be hard to scale up a company when it remains solely within the family. This is where corporate mergers come into play. As the name suggests, a merger involves two or more businesses blending together to form a distinct legal entity. What is one potential advantage of this for a family business? Cutting costs. While it’s certainly not always the case, family businesses may comprise a smaller network. They may only have access to certain vendors and could lack negotiating power. A merger can improve this situation, significantly reducing costs. Do you own a family business with an eye for long term survival? Reach out to our team to discuss the future: mark@stlawfirm.com

While traditional M&A work maintains its steep upward trajectory, a much more specific type of merger also continues to be a popular trend in the world of #BigLaw... 𝐭𝐡𝐞 𝐥𝐚𝐰 𝐟𝐢𝐫𝐦 𝐦𝐞𝐫𝐠𝐞𝐫. In what has become a much more popular strategy to capture increased market share, enhance practice capabilities or more effectively expand into new geographic regions, we've already seen nearly a dozen law firm mergers in this calendar year alone (notably headlined by the combination of global powerhouses Allen & Overy and Shearman & Sterling LLP to form A&O Shearman). Well, add a few more to the list. In the past 48 hours alone, two more AmLaw 100 firms have announced mergers with middle-market firms that will allow them to enhance certain practice areas, gain coverage in new geographic markets, and more importantly create new firms with substantially greater revenue projections. Effective January 1, 2025, Womble Bond Dickinson (US) LLP (already the product of North Carolina-based Womble's merger with UK firm Bond Dickinson) will be combining with Lewis Roca, a full-service firm with footholds in some of the fastest growing hubs in the western US, to form a firm with more than 1,300 lawyers and approximately $742 million in revenue. Similarly, effective on January 1st will be the merger between Philadelphia-born Ballard Spahr LLP and Lane Powell PC, a full-service mid-market firm and 150-year old staple of the Pacific Northwest. The resulting firm will be led by Ballard Spahr Chair Peter Michaud. Additionally worth noting is last week's announced merger between Troutman Pepper and Locke Lord LLP, also set to take effect at the start of next year, which will create a new firm with revenue of around $1.6 billion. This new growth strategy doesn't seem to be fading anytime soon, and I suspect these won't be the last law firm mergers that we'll hear of this year. Stay tuned! #legalmarket #mergers

The legal market has seen a surge in mergers this year, and Herbert Smith Freehills (HSF) is joining the trend with its strategic integration of US-based Kramer Levin. This merger strengthens both firms’ capabilities and key sectors for growth in energy and private equity. Click the link below to read more from HSF’s CEO, Justin D’Agostino, about the importance of this merger for their international strategy. #Mergers #Legaltrends #LegalRecruitment #ThisIsBirchrose

Robert Otty: "When firms merge without addressing their outdated business models, they often compound their problems. Instead of solving structural inefficiencies, they create a larger entity still reliant on billable hours and resistant to technological change. "Mergers often create the illusion of success—revenues rise in the short term, and the combined firm appears stronger. But without a rethink of how they operate, these larger firms may be even slower to adapt to the technological changes reshaping the market. "The pressure to integrate operations and satisfy partners can also distract from the crucial task of transforming the business. Firms often prioritise immediate profitability over long-term innovation—a risky approach when clients are seeking faster, more cost effective tech-driven solutions, and new competitors are re-writing the rules of engagement. "For law firms to thrive in this new landscape, transformation must come before growth through mergers. This means rethinking organisational structures, pricing models, and service delivery. By investing in technology and retooling talent strategies, firms can lay a foundation for long-term success." Full story: https://lnkd.in/eBWWQ57z

Law firm mergers these days follow five new principles (not necessarily in this order): 1. Mergers of equals are out of fashion, much easier to do a takeover. 2. Announce it first, then convince the partners to vote for it. 3. Despite what many say, scale does still matter and mergers provide an immediate cross-selling boost. 4. A difference in profitability need not be a dealbreaker (the latest two transatlantic mergers are evidence of this). 5. Adding too many surnames together to make a new name makes it sound rubbish. It just does. But this can be rectified later on. Can you think of number 6? Herbert Smith Freehills, Kramer Levin Naftalis & Frankel LLP, A&O Shearman #LawFirms #BigLaw #Mergers

Via Andrew Maloney: Since Labor Day, several Second 50 firms have either finalized or announced mergers in the U.S., with analysts pointing to client demand as well as peer pressure to add depth and scale as some motivations. Among those mergers, one already involves an international firm: Womble Bond Dickinson. For some U.S. firms, growing scale and depth is beginning to feel like an imperative, noted Jeffrey Lowe, senior managing partner and market president for Washington, D.C., at CenterPeak, in an interview. He also said that’s the case with many U.K.-headquartered firms. The trans-Atlantic merger talks are taking place as Am Law 50 firms such as Paul, Weiss, Rifkind, Wharton & Garrison and Kirkland & Ellis continue building in Europe. “There’s certainly a sense in the Magic Circle firms that they have to get with the program as well,” Lowe said. “Because these firms, very profitable firms, have come into London and are throwing a lot of money around, and there, like everywhere here, you can’t ignore it any longer. It’s not going to abate, it’s only going to get stronger.” #Global200 𝗖𝗹𝗶𝗰𝗸 𝗵𝗲𝗿𝗲 𝗳𝗼𝗿 𝗺𝗼𝗿𝗲: https://lnkd.in/eh-F45z8