The
highly
anticipated
transatlantic
merger
between
U.K.-based
Herbert
Smith
Freehills
—
No.
34
on
the
Global
200
—
and
New
York-based
Kramer
Levin
Naftalis
&
Frankel
—
No.
141
on
the
Global
200
—
will
be
voted
on
by
partners
this
month,
and
if
approved,
the
combination
will
go
live
in
May.
There’s
just
one
little
problem:
HSF
recently
suffered
its
second
year
in
a
row
of
operating
losses
here
in
the
U.S.
The
American
Lawyer
has
the
details:
HSF’s
New
York
Limited
Liability
Partnership
accounts,
filed
on
the
U.K.’s
Companies
House,
showed
the
firm
made
a
loss
of
$5.9
million,
compared
with
a
loss
of
$5.3
million
the
previous
year.
Revenue
for
the
New
York
LLP
did
marginally
increase,
however,
from
$48.8
to
$50.8
million.
…
A
spokesperson
for
HSF
commented:
“The
U.S.
is
a
strategically
important
market
in
which
we
have
invested
heavily.
Following
our
proposed
combination
with
Kramer
Levin,
our
practices
and
businesses
in
the
U.S.
will
deliver
25%
of
the
global
firm’s
profits.”
Realistically
speaking,
the
firm’s
limited
financial
losses
shouldn’t
have
that
much
of
an
impact
on
the
impending
tie-up.
HSF
Kramer
will
have
2,700
lawyers
and
is
expected
to
have
at
least
$2
billion
in
revenue,
putting
it
on
track
to
rank
in
the
top
25
on
a
global
scale.
HSF
operates
in
16
countries,
while
Kramer
Levin
has
three
offices
in
the
U.S.
As
HSF’s
chair
and
senior
partner,
Rebecca
Maslen-Stannage,
previously
noted,
the
merger
would
be
“transformational”
for
both
firms.
It
seems
unlikely
at
this
point
that
either
firm
would
walk
away
from
the
deal.
We
look
forward
to
welcoming
HSF
Kramer
later
this
month,
if
everything
goes
according
to
plan.
Best
of
luck
to
both
firms
as
the
voting
process
unfolds.
HSF
Accounts
Show
Operating
Loss
in
America
For
2024
[American
Lawyer]
Staci
Zaretsky is
a
senior
editor
at
Above
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Law,
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worked
since
2011.
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