Ashurst Perkins Coie Adopts Alternative Business Structure Following Merger

Ashurst Perkins Coie has announced its decision to operate as an alternative business structure (ABS) following the completion of its merger in June. This move marks a significant shift in the firm's operational framework.

The introduction of ABSs was facilitated by the Legal Services Act 2007, allowing law firms greater flexibility in ownership and investment. Unlike traditional partnerships or limited liability partnerships, an ABS can be part owned by non lawyers and can accept investments from private equity firms or corporations, potentially even listing on a stock exchange.

Despite this flexibility, Ashurst Perkins Coie has refuted claims that its adoption of the ABS model is intended to attract third party investment. A spokesperson for the firm clarified that the decision was made for structural reasons rather than capital raising purposes.

The firm confirmed that it has no plans to seek third party investment, stating, “We can confirm we are not seeking and have no intention to seek third party investment, and the structure was not put in place for that purpose.”

Ashurst Perkins Coie intends to leverage the ABS framework to establish a regulatory structure that facilitates global operations and financial integration. This integration is set to commence at the beginning of 2027, allowing Ashurst Perkins Coie Global LLP to become a member of Ashurst Perkins Coie UK LLP.

Prior to the merger, Ashurst reported a successful financial year, with revenue and profit per equity partner increasing by 11% and 15% respectively. The newly combined entity boasts over 3,000 lawyers across 52 offices, with significant presences in London, New York, Seattle, and Sydney.

The estimated combined revenue of Ashurst Perkins Coie exceeds $2.7 billion (£2.05 billion), positioning the firm as a formidable player in the legal market.