As Weil eyes a merger, who is a sizeable suitor?
US heavyweight law firm Weil Gotshal and Manges is reportedly pursuing a merger with another law firm and is in active discussions, fuelling speculation across the legal sector about the likely contenders.
Leadership at the New York-headquartered firm, renowned as a powerhouse in corporate restructuring, private equity, and mergers and acquisitions, reportedly told top partners that it is “negotiating a memorandum of understanding” with an unnamed law firm, according to Bloomberg Law.
This year, Weil has seen an exodus of top partners in London and across the Pond, including former corporate co-managing partner Michael Hickey and private equity co-head Christopher Machera, who left the firm for Paul Weiss in August.
The exodus escalated the whispers that a merger was on the cards for the US firm despite a spokesperson for Weil last month saying it was not engaged in merger discussions with any firm.
A partner at a London-based legal recruitment firm told City AM it is “clear” there “appears a run” at the firm, the term used to describe a sudden mass exit of equity partners and top rainmakers. So far this year, around 40 of Weil’s global partners have departed the firm.
“When that happens, quite often the firm ends up merging because there isn’t enough left,” the legal recruiter said. They added that this same situation happened to Olswang, which lost many partners and ended up merging with CMS and Nabarro in 2017.
Eyes are on its New York competitors
Another source told City AM that Weil reportedly held a meeting on Tuesday to discuss a merger.
They said they believe it is “definitely a US firm” and have reportedly heard it will be Willkie Farr & Gallagher or Skadden, both New York-headquartered white-shoe law firms. All three are direct competitors: Weil’s global revenue stands at roughly $2bn, Willkie Farr & Gallagher at around $2bn, and Skadden at $3.7bn.
An additional source confirmed to City AM Weil is not in talks with Skadden.
This potential merger follows several years of major transatlantic tie-ups between British and American law firms. The trend of transatlantic mergers in the legal sector intensified last year after the landmark A&O Shearman deal in 2024.
Since then, Herbert Smith Freehills merged with Kramer Levin to create a multi-billion-dollar law firm, and Ashurst agreed to merge with US-based Perkins Coie last November to become a $2.7bn firm. Hogan Lovells also tapped into a boom by merging with Cadwalader, Wall Street’s oldest legal practice.
However, despite the recent rise of transatlantic mergers, an adviser at a legal consultancy in London told City AM they would be “very surprised if it is a London firm” for Weil. They noted the “two names that have come up are Willkie and Vinson & Elkins”.
Vinson & Elkins is another large US firm known for its work in the energy sector. With global revenues of $1.11bn, the firm is headquartered in Houston, Texas, where Weil has three established offices, a State that is a US energy powerhouse.
“Weil is an amazing brand. Doing a deal with someone in London would likely dilute their financial position; why would they do that?” they said.
A founder and managing director of an advisory firm specialising in the legal sector, and former chief executive of a London-based litigation firm, also told City AM that Willkie and Vinson, and Elkins, were possible contenders if a merger was on the horizon.
Weil, Willkie Farr, Vinson & Elkins and Skadden were all contacted for comment.