Historic tie-up goes live today
The hotly anticipated mega-merger between Magic Circle law firm Allen & Overy and US outfit Shearman & Sterling officially goes live today.
The newly established firm, Allen Overy Shearman Sterling, known as A&O Shearman for short, comprises nearly 4,000 lawyers across 48 offices in 29 countries, with a combined annual revenue of around $3.5 billion (£2.9 billion).
The firms first went public with their intentions to merge in May 2023, with more than 99% of partners going on to vote in favour of the move.
Last month, Legal Cheek exclusively revealed that newly qualified associates at the firm will start on a salary of £125,000, with trainees receiving £50,000 in year one, which will increase to £55,000 in year two.
While these rates align with those previously offered at Allen & Overy, juniors joining the new firm from Shearman find themselves earning less than they had initially expected. This is because the US outfit paid £55,000 in year one, £60,000 in year two, and £145,000 on qualification.
Pre merger, A&O recruited around 80 trainees each year year, while Shearman took on 12 or so in London. It’s unclear what the new intake will be now that the firms have merged.
A&O Shearman’s headquarters is currently located at One Bishops’ Square in London (formerly A&O’s office), with plans to relocate to a much smaller space at 2 Broadgate near Liverpool Street station by 2027.
Denise Gibson, a banking partner based in London, has been appointed as the managing partner for the UK. Dave Lewis, who previously managed A&O’s New York office until earlier this year, has been appointed as co-managing partner for the US. He will share this role with Shearman’s Doreen Lilienfeld.
The firm’s new senior partner, Khalid Garousha, based in Abu Dhabi, has been serving as A&O’s interim global managing partner since July 2023. Meanwhile, Hervé Ekué, formerly head of the A&O office in Paris, has assumed the role of managing partner.
Meanwhile, former Shearman senior partner Adam Hakki has assumed roles as co-chair of the global A&O Shearman board and executive committee, along with chairing the firm’s US business. Doreen Lilienfeld, former global managing partner at Shearman, now serves as co-managing partner of the firm’s US business.