Ashurst Perkins Coie pursues ABS model following merger

Denies speculation of third-party investment

Following the finalisation of its merger in June, Ashurst Perkins Coie has confirmed it will operate as an alternative business structure (ABS) but denies suggestions that the move is to enable third-party investment.

ABS’s were first introduced by the Legal Services Act 2007. They gave law firms more flexible ownership and investment options, which have been traditionally unavailable to a conventional partnership or LLP. An ABS can be part-owned by non-lawyers, take investment from private equity houses or corporates or even float on a stock exchange.

Ashurst Perkins Coie has however denied that their move to adopt this ownership model has anything to do with raising capital from third-party investment, telling Legal Cheek that the decision was made for “structural reasons”.

A spokesperson for the firm said: “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.”

According to the firm, the ABS is being used in order to provide a regulatory structure under which to operate globally and to enable the global financial integration of Ashurst Perkins Coie from the beginning of 2027. Namely, it would allow Ashurst Perkins Coie Global LLP to become a member of Ashurst Perkins Coie UK LLP.

Ahead of the tie-up, Ashurst had a bumper financial year, with its revenue and PEP rising by 11% and 15% respectively. The combined firm is home to over 3,000 lawyers across 52 offices, with major hubs in London, New York, Seattle and Sydney. The firm is estimated to have a combined revenue of over $2.7 billion (£2.05 billion).