Home -> Law Blog Directory -> International Law Blogs -> jurabilis - German bLAWg from Berlin.

International Law

: jurabilis - German bLAWg from Berlin.

Linklaters: "New World" als Kampfansage in Richtung Freshfields

Die drastische (gleichwohl in breitem Konsens durchgeführte) "New World"-Entschlackungskur bei Linklaters soll offenbar weitgehend an Deutschland vorbeirauschen.

Zum Profitabilitäts-Elefantenrennen mit FBD schreibt The Lawyer:

However, the roots of the restructure are embedded in the long-held rivalry between Freshfields Bruckhaus Deringer and Linklaters, which are pulling ahead from Allen & Overy and Clifford Chance in the race for global dominance.

Former Linklaters managing partner Tony Angel’s ‘Clear Blue Water’ restructure, which saw a thorough shake-up of the firm, was occasioned by the fact that Linklaters’ profit per equity partner (PEP) had fallen behind Freshfields’ in 2002.

It triggered a wholesale streamlining of Linklaters’ equity partnership, from 410 in 2003 to 353 in 2006.

The firm’s PEP rocketed past that of Freshfields. The two firms had equal PEPs in 2004, around £675,000. But by 2006 Linklaters had steamed ahead, breaking £1m in PEP, while ­Freshfields’ stood at £830,000. Then in 2008 Freshfields overtook ­Linklaters once more.

Freshfields still boasts a higher margin than that of its rival. It increased its ­profit margin from 45 to 51 per cent between 2004 and 2008, while Linklaters’ margin remained static in 2007 and 2008 at 44 per cent.

Beide Bräute machen sich hübsch für den transatlantischen Mega-Merger.

Full post as published by jurabilis - German bLAWg from Berlin. on January 29, 2009 (boomark / email).