Legal Business

Revolving doors: DLA wins back Proskauer real estate partner as Macfarlanes and Dentons make City hires

Revolving doors: DLA wins back Proskauer real estate partner as Macfarlanes and Dentons make City hires

City lateral recruitment picked up pace again last week as DLA Piper won back a real estate partner from Proskauer Rose, Macfarlanes hired for its financial services team and Dentons strengthened its employment bench.

Joanne Owen rejoined her old firm DLA after a three and a half-year stint in Proskauer’s City corporate team, having previously worked at DLA for nearly 20 years. She advises on institutional and corporate property matters and cross-border corporate real estate transactions. She has acted for leading private equity houses, sovereign wealth funds and private high net worth investors.

The firm has also added partner Katie Jacobson to its real estate practice in Birmingham from Hogan Lovells. Jacobson, who advises institutional investors across the retail, office and industrial sectors, will join DLA at the end of this month.

Elsewhere, Macfarlanes has hired Eversheds Sutherland financial services partner Andrew Henderson, who is set to join his new firm in early 2020.

Senior partner Charles Martin told Legal Business: ‘Andrew is an outstanding fit for us given his focus on investment management clients. He offers particular expertise in retail funds, AIFMD (alternative investment regulation) and international issues, all of which are important to many of our clients.

‘All regulated financial services businesses are dealing with a huge amount of regulatory change and active intervention from regulators. This impacts our clients in the financial services industry. They look to us for joined up advice spanning all the legal aspects of the sector that matter most to them. This almost always includes regulation and quite often means that they look to us to support them when they make important judgement calls in the regulatory field,’ added Martin.

Dentons has added to its UK people, reward and mobility team in London with the hire of employment partner Purvis Ghani from Stephenson Harwood.

Dentons’ head of UK people, reward and mobility practice, Virginia Allen, commented: ‘With [Purvis’] broad range of experience across multiple areas of employment and discrimination law, his expertise will enhance our offering which handles a full suite of UK employment, pensions, employee benefits and immigration matters for our clients worldwide.’

Meanwhile, Norton Rose Fulbright has hired tax partner Florent Trouiller for its Luxembourg office from Dechert. Trouiller has experience in cross boarder private equity and real estate investment and has advised clients on all tax aspects of capital markets and securitisation transactions.

EMEA head of tax at Norton Rose Fulbright, Dominic Stuttaford, commented: ‘In the last few years, Luxembourg’s significance as a jurisdiction for financial institutions has grown, and its tax regime has become more complex. Therefore, a strong tax capability in Luxembourg underpins our pan-European and international tax offering.’

The Luxembourg office opened in June 2017 with three partners and is now operating with more than 18 fee earners across various practice areas.

Finally, Taylor Wessing has hired back its former Dubai head of corporate and co-managing partner Osama Hassan after an eight-year stint at Pinsent Masons. He joins as the firm’s Dubai managing partner and was previously head of the Middle East group and the corporate practice at Pinsent Masons.

Managing partner Shane Gleghorn commented: ‘Osama is widely recognised in the UAE market. We have a long-established platform in Dubai and our international client base has evolved significantly in TMC and private wealth. These are areas that we are known for being strong in and Osama’s experience across family owned businesses and technology in the region are hard to compete with.’

muna.abdi@legalease.co.uk

Legal Business

Norton Rose enters associate pay war putting NQs in line for £114k paycheque

Norton Rose enters associate pay war putting NQs in line for £114k paycheque

Top-performing newly qualified (NQ) solicitors at Norton Rose Fulbright (NRF) will be in line to take home up to £114,000 as the firm becomes the latest to increase its starting rates amid an escalating war for associate talent in the City.

NRF confirmed today (9 October) a 9% rise to its NQ basic salary to £87,500 effective in January 2020, with bonuses of up to 30% on top of that.

A spokesperson said it was essential for the firm to ‘attract and retain high quality people’ and ‘ensuring our salaries are competitive is key to achieving this’.

NRF is the latest to confirm a six-figure pay package for NQs after Freshfields Bruckhaus Deringer in May announced one of the largest real-term pay rises in the City for a decade amid increasing pressure for associate talent from US rivals.

A few weeks after Freshfields raised its starting rate from £85,000 to £100,000 plus bonuses, all four of its Magic Circle rivals followed suit. Clifford Chance (CC) announced a £100,000 package including bonus at the beginning of June, matched by Slaughter and May, Allen & Overy and Linklaters shortly afterwards.

The competition widened well beyond the Magic Circle over the summer, with Ashurst announcing a 9% pay increase to £105,000 after firms including Macfarlanes, Travers Smith and Herbert Smith Freehills made similar moves.

In July, Baker McKenzie announced an eye-catching 23% increase to its starting rates to a minimum of £95,000, with performance-related bonuses bringing earnings to over £100,000.

marco.cillario@legalease.co.uk

Legal Business

Dealwatch: Paul Hastings and Slaughters react on nuclear sale as Magic Circle duo imbibes Greene King takeover

Dealwatch: Paul Hastings and Slaughters react on nuclear sale as Magic Circle duo imbibes Greene King takeover

August has proved to be active with big-ticket deals prompting inbound investment to the UK with the disposal of John Wood Group’s nuclear business to US-based Jacobs Engineering Group, as well as the sale of Greene King to Hong Kong’s CKA Group.

Paul Hastings advised Jacobs Engineering Group on its acquisition of John Wood Group’s nuclear business in the UK, Europe and the Far East for a cash consideration of roughly £250m.

The deal is part of Wood’s strategy to offload its non-core areas and to lower its debt levels following its acquisition of Amec Foster Wheeler in 2017. The deal is subject to conditions including competition clearance and is expected to close in the first quarter of 2020.

Jacobs, a New York Stock Exchange listed company, is a provider of technical services and has an expansion strategy for its complementary areas of aerospace, technology and nuclear.

The Paul Hastings team, led by London-based M&A partner Roger Barron, included managing partner Ronan O’Sullivan and M&A partner Matthew Poxon, both in London.

John Wood Group was advised on the transaction by a Slaughter and May team led by corporate partners Simon Nicholls and Filippo de Falco and included competition partners Lisa Wright and Bertrand Louveaux, pension and employment partners Padraig Cronin and Daniel Schaffer as well as data protection partner Rebecca Cousin.

Barron told Legal Business: ‘This is just the sort of deal that I joined Paul Hastings to do – transatlantic M&A for a major US company, where we can provide the sector expertise as well as deal execution capability on both sides of the pond.

‘Jacobs has a very clear strategy for using M&A to expand into profitable and complementary areas. This is seen as a good business and works well with their existing strategy. For this deal about 90% of the business is UK. You could see this as a US company being confident in the prospects of a UK business,’ added Barron.

Meanwhile, Linklaters won a lead mandate advising pub giant Greene King on its proposed £2.7bn sale to Hong Kong real estate group CKA, with Clifford Chance (CC) advising the buyer.

The 220 year old Suffolk-based brewery has around 2,700 pubs, restaurants and hotels nationally. Its acquisition follows the takeover of Ei Group by Stonegate Pub for £1.3m last month.

The Linklaters team was led by corporate partners Dan Schuster-Woldan and Nick Rumsby while Lee Coney and Nick Rees led the CC team which also included Alex Nourry (antitrust), Sonia Gilbert (employment) and Matt Taylor (real estate).

Norton Rose Fulbright advised HSBC, the financial adviser to CK Asset Holdings. CKA has agreed to the terms of the acquisition which include a 51% premium on the value of Greene King through its recently formed Cayman Islands based subsidiary CK Bidco.

The Norton Rose team was led by corporate partner Paul Whitelock.

Elsewhere a Ropes & Gray London team, led by private equity partner Philip Sanderson and finance partner Malcolm Hitching, advised private equity firm Duke Street on the acquisition of railway holiday provider, Vacation by Rail.

The US acquisition, funded partially by English law governed facilities, brought together the firm’s English and US law expertise. The deal follows the acquisition of Great Rail Journeys, escorted rail holiday provider, by Duke Street Capital from ECI a year ago.

Andrew Arons at Williams, Bax and Saltzman in Chicago acted for the sellers.

Sanderson told Legal Business: ‘The deal reflects an important trend of PE backed businesses like GRJ seeking growth in the US. This has become increasingly important for ambitious mid-market businesses where a strong European platform is proven and allows PE to support the next step into the US. We are regularly helping businesses in this way.

“The European summer deal market has been favourable for few in PE. The paucity of deals has naturally combined with high price for the deals that do come to market. The B word has left the market as uncertain as it has been for many years and so bolt ons for PE have become a popular means to generate activity from within the portfolio. Better what you know, is a factor in that, as well as the potential for economies and bargains from smaller strategically important deals.’

muna.abdi@legalease.co.uk

Legal Business

NRF launches legal ops consulting arm with the mind behind Barclays’ radical panel reforms

NRF launches legal ops consulting arm with the mind behind Barclays’ radical panel reforms

Norton Rose Fulbright (NRF) made an ‘offensive move’ against the much-hyped threat of the Big Four on legal operations consulting with the hire of the well-regarded former Barclays head of external engagement, Stéphanie Hamon (pictured).

Hamon, who quit the bank earlier this year, joins as a fee-earner in August to head the new practice and help ‘in-house departments function like a business’.

Legal Business

NRF hires the mind behind Barclays radical panel shake-up to launch legal ops consulting arm

NRF hires the mind behind Barclays radical panel shake-up to launch legal ops consulting arm

Norton Rose Fulbright (NRF) is making an ‘offensive move’ against the Big Four on legal operations consulting with the hire of the well-regarded former Barclays’ head of external engagement, Stéphanie Hamon (pictured).

The firm announced today (9 July) that Hamon, who quit the bank earlier this year, will join as a fee-earner in August to head the new practice and help ‘in-house departments function like a business’.

Part of the firm’s innovation programme NRF Transform, the new practice will operate with no hourly rates, and Hamon told Legal Business NRF’s openness to alternative fee arrangements was one of the main factors in her decision to join the firm.

A long-time supporter of reshaping law firm-client relationships, during her three years at Barclays Hamon led the bank’s move to phase out conventional legal panels in favour of a system of ongoing management of its legal counsel from mid-2021.

NRF’s new practice aims to both assist companies set up a legal operations function and help those which already have one on specific projects. It will initially target UK clients but could soon look to expand into continental Europe, Australia and the US.

‘There is a growing need in the market for legal operations advice and there are not many people delivering it,’ said Hamon. ‘The good thing about my position at Barclays was that I was meeting with all law firms and suppliers. NRF quickly became the front-runner because of their forward thinking strategy. They want to service clients in a more holistic way.’

She added: ‘If you ask ten people what legal ops is you will get ten different answers. In my view it is all that helps [GCs] run their legal department like a business. From analytics, demonstrating the value your team can bring to the company, to pricing and relationship management. Some companies already have legal ops teams but the level of maturity can be very different.’

Hamon would not specify how many people will form her new practice beyond saying it was still very much in a ‘start-up mind-set’ and would initially draw on existing resources within the firm before recruiting.

Asked whether it would be challenging to convince companies to instruct a law firm to get help with a function that is ultimately aimed at reducing their legal spend, she said: ‘When you are on the buy-side it is not so much about cutting costs. It is about getting value for money, demonstrating you are getting the right price for the service. Part of the work is about how you drive efficiency.’

She added: ‘It is more an offensive move than a defensive move: if the Big Four can move from consulting into legal advice, why can’t a law firm move from legal advice into consulting?’

Hamon has some experience with private practice. Before joining Barclays in December 2015 she was head of international business development and client service at King & Wood Mallesons for three years. In the 2000s and early 2010s she held several business management roles at Clifford Chance.

Her move to NRF comes after the firm slowed down its international expansion and suffered several losses both in London and abroad.

Last month it lost a ten-lawyer City insurance team to Kennedys in January it pulled out of Venezuela – its 26-lawyer local practice joining Dentons – while last year it closed in Kazakhstan and Abu Dhabi and lost its Tokyo corporate team to Paul Hastings. In July 2018, it lost one of its most senior London partners in the form of veteran litigator, Sam Eastwood, who quit after three decades to join Mayer Brown.

marco.cillario@legalease.co.uk

For more on Barclay’s adviser review during Hamon’s tenure, see Point Break (£)

Legal Business

NRF loses ten-lawyer London insurance litigation team to Kennedys as BCLP hires energy partners from Watson Farley

NRF loses ten-lawyer London insurance litigation team to Kennedys as BCLP hires energy partners from Watson Farley

UK top 30 insurance and shipping specialist Kennedys has raided Norton Rose Fulbright’s (NRF) London insurance bench, recruiting two partners and another eight-lawyers.

Meanwhile, Bryan Cave Leighton Paisner (BCLP) hired two energy partners from Watson Farley & Williams and RPC hired a chief operating officer (COO) from Clifford Chance (CC).

In the latest loss for NRF, insurance and marine disputes partners Patrick Foss and Chris Zavos have quit the firm for Kennedys after eight years, alongside counsel Jo Ward, who will make partner in the move.

Foss and Zavos both joined NRF from Barlow Lyde & Gilbert when their former firm merged with Clyde & Co in 2011. Their practice focuses on disputes work in marine, energy, terrorism, trade credit and political risk.

Kennedy’s marine head Christopher Dunn told Legal Business: ‘They are a fantastic team. We have been talking to them for some time, they are close friends of ours and they are market leaders in their sector of marine and energy. It represents a good way for us to increase our market share globally.’

He anticipated further growth in the firm’s 52-lawyer global marine team, with a particular focus on America. The firm recently established associations with firms in the Dominican Republic, Guatemala and Panama, expanding its regional footprint to 11 territories in Latin America and the Caribbean.

A spokesperson for NRF said: ‘We have great strength in depth with over 30 partners in our London disputes team, a total of 60 partners across EMEA and 1200 lawyers in our global disputes group. We are committed to retaining a strong profile in London for our insurance and shipping clients across the global network.’

The move is the latest step in Kennedys’ expansion of its marine offering. In 2016 the firm merged with marine and shipping boutique Waltons & Morse and last year it hired a team from Mayer Brown including insurance and reinsurance head David Chadwick.

The firm has also been focused on expanding outside of London over the last two years. In autumn 2017 it launched in Paris and Bangkok after opening in Melbourne that summer.

Last year it opened an innovation back office in India, called Kennedys Kognitive Computing. The firm now counts 37 offices worldwide.

For NRF, this is the latest in a series of losses in London and abroad. In July last year it lost one of its most senior London partners as veteran litigator Sam Eastwood quit after three decades to join Mayer Brown.

In January this year it pulled out of Venezuela, its 26-lawyer local practice joining Dentons, while last year it closed in Kazakhstan and Abu Dhabi and lost its Tokyo corporate team to Paul Hastings.

Meanwhile, BCLP announced the hire of energy partners John Conlin and Rod Chooramun from Watson Farley. Also a former NRF partner, oil and gas specialist Conlin joined Watson Farley in January 2016 from Andrews Kurth, while energy and infrastructure lawyer Chooramun was promoted to partner in 2017.

In a Monday full of announcements, RPC hired CC general manager Alistair Johnson as its new COO. A member of CC’s management team, Johnson was responsible for operational delivery in the UK for five years. Prior to that he was CC’s IT director for London and the Middle East. He is set to join RPC next September as a board member.

marco.cillario@legalease.co.uk

Legal Business

Dentons risks Venezuelan instability to secure Norton Rose Caracas business

Dentons risks Venezuelan instability to secure Norton Rose Caracas business

Dentons has acquired Norton Rose Fulbright (NRF)’s 26-lawyer Caracas office, coinciding with Venezuela’s acute economic and political crisis.

As part of the acquisition, Dentons hired eight partners with a sector focus on energy and natural resources, as well as employment. Currently led by labour partner Juan Carlos Pró-Rísquez, who became NRF managing partner in the country last year, the office is set to become Despacho de Abogados miembros de Dentons, after a transition period that sees it associated with Dentons’ Colombian business in Bogotá.

Legal Business

Globe-trotting Dentons primed to secure Norton Rose’s Venezuela business

Globe-trotting Dentons primed to secure Norton Rose’s Venezuela business

Expansive global giant Dentons is positioned for another regional merger, with Norton Rose Fulbright’s (NRF) 26-lawyer strong Venezuelan practice the new addition, as Dentons moves to bolster its offering in the Caribbean and Latin America.

The Caracas-based practice is spearheaded by labour partner Juan Carlos Pró-Rísquez, who became managing partner for NRF in Venezuela in 2018. Pró-Rísquez will now lead the office under the name of Despacho de Abogados miembros de Dentons. Currently, the office is in a transitional structure, which sees it associated with Dentons’ Colombian business in Bogotá. However, it will be fully integrated into the firm’s verein-backed structure in the coming weeks subject to a vote from the Dentons partnership.

‘This first started after we recruited several Norton Rose lawyers in Bogotá,’ Jorge Alers, Dentons’ chief executive for Latin America and the Caribbean, told Legal Business. ‘They integrated very well with the firm so we knew how much of a good fit their former colleagues in Caracas would be.’

The Caracas firm counts eight partners with a business focused on energy and natural resource as well as employment. Venezuela, meanwhile, remains one of the world’s largest oil producers, however, the country is currently looking to diversify its economy in a bid to become less reliant upon global commodity cycles.

For Dentons, the tie-up continues its ultra-expansive strategy, having opened in Nicaragua and El Salvador last year, as well as combining with Delany Law and Dinner Martin in the Caribbean. In Latin America, meanwhile, the 8,700-lawyer firm allied with Brazil’s Vella Pugliese Buosi Guidoni, as well as merging with Gallo Barrios Pickmann in Peru.

NRF, in contrast, has more conservative with its global footprint. The firm closed branches in Kazakhstan and Abu Dhabi last year while Paul Hastings recruited its Japanese corporate team.

The firm released a statement from chief executive Peter Martyr: ‘Market conditions in Venezuela have been challenging for some time. Therefore, we have reached a mutual agreement with our Caracas partners that Norton Rose Fulbright will no longer maintain a local market presence in Venezuela.’

Alers at Dentons unsurprisingly struck a different note, stressing his firm’s expansion plans in the Latin American and Caribbean region: ‘It not only our strategy to grow globally but also grow continually in Latin America and the Caribbean, where we already have the most legal coverage in the region. This is just another step in our effort to cover the entire jurisdiction.’

thomas.alan@legalease.co.uk

Legal Business

Deal round-up: Travers advises Shazam on Apple buyout as Freshfields and Norton Rose strike gold on $18bn mining merger

Deal round-up: Travers advises Shazam on Apple buyout as Freshfields and Norton Rose strike gold on $18bn mining merger

In the latest flurry of deals, Travers Smith has represented popular mobile app Shazam on its buyout by tech giant Apple, while a raft of international firms have benefitted from recent transactional activity.

Shazam, which was founded in 2002, is a song recognition app which can identify what music is playing via a phone’s inbuilt microphone. The deal for Shazam, reportedly worth $400m, will see Apple offer the app on an ad-free basis for all users.

The buyout was initially delayed by a European Commission (EC) probe, amid fears it could give Apple Music a competitive advantage over rival streaming apps such as Spotify and Deezer, but the EC gave the takeover the green light earlier this month.

Shazam was advised by Travers Smith, with a team spearheaded by corporate finance partner Andrew Gillen. Gillen was supported by partners Jessica Kemp and Madeleine Gowlett, who offered specialist tax advice, while commercial advice was given by partner Louisa Chambers.

Apple was represented by Cooley, while Hogan Lovells also featured on the deal, advising Shazam on US aspects of the transaction.

Elsewhere, Freshfields Bruckhaus Deringer and Norton Rose Fulbright landed key roles as goldmining giants Randgold and Barrick of Canada announced an $18bn combination.

The merger is expected to create the largest gold company in the world in terms of tier one gold assets, and is predicted to have a market capitalisation of $18.3bn.

Freshfields is one of the firms advising Barrick on the merger. Leading for the Magic Circle firm are corporate partners Piers Prichard Jones and Stephen Hewes. US outfits Davies Ward Phillips & Vineberg and Cravath, Swaine & Moore also advised Barrick, alongside offshore firm Carey Olsen.

Norton Rose was on hand to support the US-based Randgold with a transatlantic team. Corporate partners Jon Perry and Nick Adams led for the firm out of London, while New York-based securities partner Steven Suzzan provided advice on the US side. Canadian firm Stikeman Elliot and offshore outfit Ogier also represented Randgold.

Finally, White & Case has advised the creditors of pharmaceuticals company Concordia on its $3.7bn recapitalisation.

The restructuring came after Concordia faced a number of issues, including regulatory scrutiny of its past business practices and a large amount of debt accrued from its previous acquisitions. As a result of the restructuring, Concordia’s debt has reduced from around $3.7bn to $1.4bn. A Carey Olsen team, led by partner Kate Andrews, advised the ad-hoc group of secured creditors on Jersey law aspects of the deal.

Christian Pilkington, one of White & Case’s lead restructuring partners on the mandate, commented: ‘This deal illustrates our ability to combine our global restructuring, finance and regulatory capabilities with our deep knowledge of the pharmaceutical industry.’

tom.baker@legalease.co.uk

Legal Business

CMS, Fieldfisher and NRF among firms awarded spots on social housing regulator’s panel amid regime shake-up

CMS, Fieldfisher and NRF among firms awarded spots on social housing regulator’s panel amid regime shake-up

CMS Cameron McKenna Nabarro Olswang, Norton Rose Fulbright (NRF) and Fieldfisher have been appointed to the Regulator of Social Housing’s (RSH) inaugural legal panel.

Trowers & Hamlins, Devonshires and Mills & Reeve will also be in the roster of firms advising the government body, announced today (18 May), for a four-year term.

The RSH started life in January, when the Homes and Communities Agency branched into a development and regulatory entity as the government tried to expedite the delivery of affordable housing.

The new entity, Homes England, will work on the delivery side, while the RSH will assist on commercial law and regulation, as well as a new special administration regime for social housing providers.

Under the new regime, if a registered provider is insolvent the administrator will try to keep its assets for use in the social housing sector.

Fieldfisher and Devonshires will advise specifically on regulatory, corporate and financial law, while CMS and NRF will work on insolvency and special administration law, with the other firms on the panel advising on both.

‘As a firm, we have extensive experience of advising on special administrations and in the social housing sector, and we look forward to deploying this in helping RSH,’ said CMS’ Glen Flannery, member of Restructuring Team of the Year at the latest Legal Business Awards. The firm’s real estate partner Candice Blackwood will also be part of the team advising the RSH.

This is the second panel appointment this week for Fieldfisher, which was among a group of seven firms appointed by Co-Op on Monday (14 May) to work alongside primary advised Allen & Overy.

marco.cillario@legalease.co.uk