Legal Business

Turkey and Africa expansion on the cards for Pinsents

Following an extremely acquisitive year since its strategic alliance with Salans came to an end, Pinsent Masons shows no signs of slowing down, with Turkey and Africa next in its sights for 2013.

According to a spokesperson at the firm, Pinsents is considering a joint venture or alliance in Turkey next year and its recent launch in Paris also potentially provides access to the energy and infrastructure market in northern and sub-Saharan Africa.

Additionally, the firm aims to consolidate its position in Europe and Asia-Pacific over the next few years. Senior partner Chris Mullen said this was based on the increasing trade links between mainland Europe, Asia and the Gulf.

Pinsents has been undeniably busy since announcing the end of its alliance with Salans late last year. This summer the firm launched its own offices in France and Germany, while beefing up its presence in Asia through lateral hires – primarily from Salans. All of this was underpinned by one of the biggest domestic mergers of the year – the tie-up with Scottish giant McGrigors in May, forming a firm with a combined headcount of 350 partners and 1,500 lawyers. The firm posted a 4% rise in revenues this year, not counting the additional £70m or so that McGrigors will add to the top line in 2012/13.

Mullen said the firm is on track to achieve its strategic aim of establishing a strong global presence by 2020, as the firm’s view is that the UK market does not offer the same long-term prospects of growth as most other international markets. During the last five years, the firm has spread its international footprint by hitting continental Europe this year, Qatar last year, Beijing in 2010, Dubai in 2008 and Singapore in 2007.

‘It would be a mistake to see our opening in Europe, the merger with McGrigors and the expansion in China as completely separate or independent moves,’ he said. ‘There is a clear strategy and narrative to the approach we have taken. The merger with McGrigors gave us a stronger UK platform for international growth and enhanced our expertise in global sectors such as infrastructure and energy,’ Mullen added.

‘There is a clear strategy and narrative to the approach we have taken.’
Chris Mullen, Pinsent Masons

The most recent development has been building up its offering in Asia, largely at Salans’ expense. In June the firm hired two key partners from Salans in Shanghai, Bernd-Uwe Stucken and Wei Liu (see LB226, page 14), before adding their team of 13 lawyers and 12 support staff. The team aims to provide real estate, tax and competition expertise to the firm’s existing corporate services in China.

At present, the firm has 100 lawyers in Asia and aims to expand further as Asia clients are critical to the development of Pinsents’ core sector groups, particularly in energy and natural resources, infrastructure, technology and advanced manufacturing.

David Ryan, managing partner at Pinsent Masons, said: ‘This marks another important step in the development of our Chinese practice. There are strong links between Shanghai, our Munich office and our German desk in London, especially given the strength of manufacturing in Germany and the importance of both Germany and Shanghai to our advanced manufacturing and technology services sector.’

The Munich office, which opened in July and was Pinsents’ first foray into Europe, was formed by taking seven partners from German firm von Boetticher Hasse Lohmann, including its founding partner Ulrich Lohmann. The focus in that office is corporate, IT and dispute resolution.

Mullen said the move allowed the firm not only to service the cross-border needs of international companies operating from and into Germany, but also contributed to the firm’s continued investment in Asia-Pacific. According to Mullen, the Munich office provides a legal gateway between mainland Europe and China, and the appointment of Stucken and Wei in Shanghai was a part of this strategy.

The firm compounded its European expansion with the opening of a brand new office in France at the beginning of September. Pinsents took nine partners from Marccus Partners, the legal arm of accounting firm Mazars.

The team reports to office managing partner Christoph Maurer, and concentrates on providing corporate, M&A, commercial, restructuring, finance, real estate, IT, IP, employment, litigation and arbitration advice.

Ryan said launching the France practice had always been a key part of the firm’s international growth strategy. ‘Central to our global sector approach, the new office puts us in a strong position to capture more in and outbound work across Europe and provides a key link with our clients in the Gulf and Asia,’ he said.

Not only that, it is hoped that the Paris office may provide a springboard into Francophone Africa, as it has for a number of international firms recently. Herbert Smith Freehills has fashioned a strong Africa desk via its Paris office, while a number of French firms have established strong bases in Morocco, for example (see ‘Into Africa’, page 72).

However, despite Pinsents’ own European ambitions bringing about the end of the Salans alliance last year, Mullen said both firms are still collaborating on bids and referrals.

‘It’s served as a useful relationship for us, but as a strategic experience it’s run its course,’ said Mullen. ‘The UK’s a slow growth market at the moment and clients would prefer to work with us where possible. The time came to set up a network and we’re starting with cities where we have a long-established track record and proven demand from our international clients.’