Global 20: King & Spalding
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Global 20: King & Spalding By Linda Chiem Law360, New York (August 05, 2013, 4:41 PM ET) -- King & Spalding LLP's strict adherence to a strategic growth plan centered around building up its strongest practice areas in select markets has spurred its recent expansions in London, Paris, Singapore and the Middle East, securing the firm a spot on Law360's Global 20 for the second time. With more than 875 attorneys spread across 17 offices in nine countries, King & Spalding has made it a calling to select locations where it can best leverage its expertise in areas like energy, real estate, international arbitration, Islamic finance and international trade to attract top-quality talent and provide valuable service to its clients. Over the past seven years, the firm opened 12 new offices, eight of which are located outside the U.S. Currently, 130 of its attorneys are based outside of the U.S. — 91 in Europe, 26 in the Middle East and 13 in Asia — accounting for approximately 14.7 percent of all of its attorneys firmwide, according to Philip Weems, the Houston-based co-head of the firm's energy practice who formerly served as managing partner of the firm's three Middle East and its Singapore offices. It's a growth attributable to the firm's ability to attract high-caliber legal work and attorneys who are both skilled enough to tackle them and fit nicely with the firm's team-centric corporate culture, Weems said. “We are at a point now where we are very well known globally and that's actually something we've arrived at [and] in that sense our firm's strengths economically have allowed us to attract the kind of matters that's been noticed,” Weems said. King & Spalding Chairman Robert Hays said the global expansion is part of the firm's strategy for remaining an elite player, both nationally and internationally, in what he describes as the “increasingly mercenary” legal market. “The way we came to this was we didn't say we want to be a global firm [and] we didn't say we want to have offices in A, B or C places,” Hays said. “The big plan globally for the whole law firm was to double down on the strengths, be precise about it and articulate the direction the firm needed to be.” It also helps that the firm's steady profitability has allowed it to make substantial investments in bolstering key offices, Hays said.
“You have to have a very sound rationale for your expansion,” Hays said. “We have to have a practice reason for being in a certain city and we don't want to fall victim of the 'me too' strategies that sometimes other firms have followed.” While the firm has seen strong economic momentum at all of its overseas outposts, King & Spalding's London and Paris offices have racked up considerable growth in the past year, adding key partners who have helped launch international disputes and real estate finance practice groups in those outposts. Garry Pegg, co-managing partner of the firm's London office, said the firm's reputation among the elite financial institutions in a global business center such as London has served up a lucrative client base, which in turn attracts elite attorneys, despite the depressed European markets. “I would say we're accretive rather than aspirational,” Pegg said. “We're hiring to our strengths and we're building up a critical mass where we're not hiring randomly in areas we're not known for or where we don't have some sort of expertise.” The firm picked up five lateral partners in Paris, including real estate experts Benoit Marcilhacy and Pascal Schmitz and litigators Joel Alquezar, Vanessa Benichou and Joelle Herschtel, who have launched new on-the-ground disputes and real estate practices in France. The London office also continues to grow at a considerable rate, securing two major lateral hires in corporate partner William Charnley and real estate partner Nigel Heilpern. Their arrivals came on the heels of an 18-month run during which the office snagged seven partners and launched three new practice areas — dispute resolution, investment funds and real estate. “It keeps coming back to quality, quality, quality,” Pegg said. “Especially when the markets are down, people look for quality attorneys to run a case or dispute for them, quality in securing an asset or selling an asset with the maximum value for the client.” In the past year, the firm notably represented Sadara Chemical Co., a joint venture of Saudi Arabian Oil Co., better known as Saudi Aramco, and Dow Chemical Co., on all aspects of the development and operation of the largest petrochemical facility ever built in a single phase, valued in excess of $20 billion. “Given the size and complexity, that was a significant one that we handled from various offices from Riyadh to Dubai and Houston to Geneva,” Weems said. “At least five offices were involved in that and that's one that shows the strength of our brand, knowledge of our firm, as well as the existing platform strength in energy.” The firm also advised RREEF, the investment management division of Deutsche Bank AG, in exclusive negotiations earlier this year for the disposal of its 70 percent stake in Printemps, a leading department store group in France. The purchase price was based on an enterprise value of approximately €1.7 billion ($2.25 billion) in a deal made possible thanks to the recent hires in Paris, the firm said. In addition, King & Spalding's global disputes practice is making an impact in areas where the firm does not even have an office, such as Latin America.
For example, it represents Chevron Corp. in a long-running bilateral investment treaty dispute with Ecuador related to past oil operations by Chevron's subsidiary Texaco Petroleum Co. The case has garnered attention as one of the largest international arbitrations in history. It also represents Chevron in a related matter concerning a breach of contract and denial of justice claim regarding the Ecuadorean courts' refusal to rule in seven contract cases brought by Texaco in the early 1990s. King & Spalding has secured an interim award confirming the tribunal's jurisdiction; a partial award finding Ecuador liable for violations of the bilateral investment treaty and a final award of $96 million for Chevron that's awaiting final confirmation in Washington federal court. While the firm has no immediate plans to open new offices, the firm will continue to focus on opportunities for growth within existing offices, according to Weems. For example, since being the first international law firm to establish a dedicated Islamic finance practice in 1995, the Middle East has steadily grown its mainstay energy and infrastructure projects practices. The firm's Singapore office, which has already earned a reputation as one of the fastest growing in the region, has continued to fill out its roster of international arbitration and project development experts who have expanded the firm's regional expertise to countries such as Indonesia and Malaysia. “We don't want to be everywhere and we don't want to be all things to all people,” Weems said. “There are some firms that have grown too fast internationally and don't have or have gotten away from their standards. We don't believe in growth for growth's sake and that's why we're having the success that we have because we've stuck with that strategy.” --Additional reporting by Scott Flaherty. Editing by Andrew Park.
All Content © 2003-2013, Portfolio Media, Inc.
Global 20: King & Spalding By Linda Chiem Law360, New York (August 05, 2013, 4:41 PM ET) -- King & Spalding LLP's strict adherence to a strategic growth plan centered around building up its strongest practice areas in select markets has spurred its recent expansions in London, Paris, Singapore and the Middle East, securing the firm a spot on Law360's Global 20 for the second time. With more than 875 attorneys spread across 17 offices in nine countries, King & Spalding has made it a calling to select locations where it can best leverage its expertise in areas like energy, real estate, international arbitration, Islamic finance and international trade to attract top-quality talent and provide valuable service to its clients. Over the past seven years, the firm opened 12 new offices, eight of which are located outside the U.S. Currently, 130 of its attorneys are based outside of the U.S. — 91 in Europe, 26 in the Middle East and 13 in Asia — accounting for approximately 14.7 percent of all of its attorneys firmwide, according to Philip Weems, the Houston-based co-head of the firm's energy practice who formerly served as managing partner of the firm's three Middle East and its Singapore offices. It's a growth attributable to the firm's ability to attract high-caliber legal work and attorneys who are both skilled enough to tackle them and fit nicely with the firm's team-centric corporate culture, Weems said. “We are at a point now where we are very well known globally and that's actually something we've arrived at [and] in that sense our firm's strengths economically have allowed us to attract the kind of matters that's been noticed,” Weems said. King & Spalding Chairman Robert Hays said the global expansion is part of the firm's strategy for remaining an elite player, both nationally and internationally, in what he describes as the “increasingly mercenary” legal market. “The way we came to this was we didn't say we want to be a global firm [and] we didn't say we want to have offices in A, B or C places,” Hays said. “The big plan globally for the whole law firm was to double down on the strengths, be precise about it and articulate the direction the firm needed to be.” It also helps that the firm's steady profitability has allowed it to make substantial investments in bolstering key offices, Hays said.
“You have to have a very sound rationale for your expansion,” Hays said. “We have to have a practice reason for being in a certain city and we don't want to fall victim of the 'me too' strategies that sometimes other firms have followed.” While the firm has seen strong economic momentum at all of its overseas outposts, King & Spalding's London and Paris offices have racked up considerable growth in the past year, adding key partners who have helped launch international disputes and real estate finance practice groups in those outposts. Garry Pegg, co-managing partner of the firm's London office, said the firm's reputation among the elite financial institutions in a global business center such as London has served up a lucrative client base, which in turn attracts elite attorneys, despite the depressed European markets. “I would say we're accretive rather than aspirational,” Pegg said. “We're hiring to our strengths and we're building up a critical mass where we're not hiring randomly in areas we're not known for or where we don't have some sort of expertise.” The firm picked up five lateral partners in Paris, including real estate experts Benoit Marcilhacy and Pascal Schmitz and litigators Joel Alquezar, Vanessa Benichou and Joelle Herschtel, who have launched new on-the-ground disputes and real estate practices in France. The London office also continues to grow at a considerable rate, securing two major lateral hires in corporate partner William Charnley and real estate partner Nigel Heilpern. Their arrivals came on the heels of an 18-month run during which the office snagged seven partners and launched three new practice areas — dispute resolution, investment funds and real estate. “It keeps coming back to quality, quality, quality,” Pegg said. “Especially when the markets are down, people look for quality attorneys to run a case or dispute for them, quality in securing an asset or selling an asset with the maximum value for the client.” In the past year, the firm notably represented Sadara Chemical Co., a joint venture of Saudi Arabian Oil Co., better known as Saudi Aramco, and Dow Chemical Co., on all aspects of the development and operation of the largest petrochemical facility ever built in a single phase, valued in excess of $20 billion. “Given the size and complexity, that was a significant one that we handled from various offices from Riyadh to Dubai and Houston to Geneva,” Weems said. “At least five offices were involved in that and that's one that shows the strength of our brand, knowledge of our firm, as well as the existing platform strength in energy.” The firm also advised RREEF, the investment management division of Deutsche Bank AG, in exclusive negotiations earlier this year for the disposal of its 70 percent stake in Printemps, a leading department store group in France. The purchase price was based on an enterprise value of approximately €1.7 billion ($2.25 billion) in a deal made possible thanks to the recent hires in Paris, the firm said. In addition, King & Spalding's global disputes practice is making an impact in areas where the firm does not even have an office, such as Latin America.
For example, it represents Chevron Corp. in a long-running bilateral investment treaty dispute with Ecuador related to past oil operations by Chevron's subsidiary Texaco Petroleum Co. The case has garnered attention as one of the largest international arbitrations in history. It also represents Chevron in a related matter concerning a breach of contract and denial of justice claim regarding the Ecuadorean courts' refusal to rule in seven contract cases brought by Texaco in the early 1990s. King & Spalding has secured an interim award confirming the tribunal's jurisdiction; a partial award finding Ecuador liable for violations of the bilateral investment treaty and a final award of $96 million for Chevron that's awaiting final confirmation in Washington federal court. While the firm has no immediate plans to open new offices, the firm will continue to focus on opportunities for growth within existing offices, according to Weems. For example, since being the first international law firm to establish a dedicated Islamic finance practice in 1995, the Middle East has steadily grown its mainstay energy and infrastructure projects practices. The firm's Singapore office, which has already earned a reputation as one of the fastest growing in the region, has continued to fill out its roster of international arbitration and project development experts who have expanded the firm's regional expertise to countries such as Indonesia and Malaysia. “We don't want to be everywhere and we don't want to be all things to all people,” Weems said. “There are some firms that have grown too fast internationally and don't have or have gotten away from their standards. We don't believe in growth for growth's sake and that's why we're having the success that we have because we've stuck with that strategy.” --Additional reporting by Scott Flaherty. Editing by Andrew Park.
All Content © 2003-2013, Portfolio Media, Inc.
