Allen & Overy stated to be in merger talks with US law practice

The UK “magic circle” law practice Allen & Overy is reported to be in merger talks with US clothing O’Melveny & Myers, in a possible offer that would produce a company with combined incomes of approximately $2.8 bn. Legal Week, which initially reported the talks, stated information had actually been limited to a small number of senior figures on each side. It included that Allen & Overy partners were informed in January the company remained in conversations with a number of US entities about a prospective offer. Allen & Overy acknowledged that it was “available to thinking about a merger with the ideal partner in the US” but included: “We speak with many law practices in many nations all the time and we do not discuss market speculation and rumors relating to any specific company.”. A representative for O’Melveny, which is based in Los Angeles and is ranked in the leading 50 US companies, stated: “We have no strategies to combine and never ever have.” Neither side rejected having actually held conversations.

A partner at a competing UK company stated the merger had actually been rumored for a long time. “It was inescapable that [a magic circle company] would start the ball rolling– the huge question is whether this will have a tiny cause and effect.”. Leading UK law practice have actually long been aiming to split the much larger US legal market. Clifford Chance, another member of the magic circle, combined with New York company Rogers & Wells in 2000. That mix, nevertheless, is not concerned to have actually been a success and resulted in a variety of Rogers partners stopping.