Asia move continues following India play
Osborne Clarke (OC) said Hong Kong was its ‘key gateway’ as it heads deeper into Asia by formalising its relationship with local firm Koh Vass & Co.
The move paves the way for a merger between the two firms, as under Hong Kong law a firm must have a formal association for three years before it can be taken over.
OC international chief executive Simon Beswick said the firm chose digital specialist firm Koh Vass because of its heavily concentrated business. ‘We wanted to enter the market in a focused way that plays to our strengths and would deliver value to our clients from the get-go,’ he said.
‘Hong Kong is a natural starting point for OC to open in the Asia-Pacific region as it is a key gateway for our clients doing business in that region and a hub used by Chinese businesses trading outside the region,’ Beswick added.
While mainland China was ‘naturally of interest’, if and when OC would enter that market has not been decided, Beswick said, adding: ‘A lot of our focus and investment is being spent expanding our existing bases in Europe and looking to build a solid platform in Asia to support our clients in that region, and to access Chinese/Indian and ASEAN clients in our key sector groups.’
The firm’s strategy is to build an Asian presence for the long term around key markets that are relevant to its sector clients. ‘Those markets will undoubtedly change a little over time as new markets develop. We intend to stay close to market developments and the needs of our clients and will flex our strategy accordingly,’ Beswick added.
However, speaking to Legal Business for the Legal Business 100 coverage over the summer, managing partner Ray Berg, while acknowledging the intangible benefits an international platform has brought the firm, warned that Asia needed to be watched carefully. ‘The flip side is the number of firms you are seeing close down offices out there. Just because we have a Hong Kong office, it is not a given that we need to have another three offices in the region,’ he said.
The Hong Kong move follows OC’s Indian move into Asia at the end of 2014. The firm formed an alliance with Mumbai-firm BTG Legal, led by former OC partner Prashant Mara. The ‘best friend’ relationship with the firm, which focuses on digital business, transport automotive and financial services sectors, is likely stay non-exclusive due to Indian regulations.
victoria.young@legalease.co.uk