Member Article

DWF rescues Cobbetts following administration

Law firm DWF has confirmed its acquisition of Cobbetts, following the appointment of KPMG as administrators for the bought company.

Cobbetts called in Mark Firmin, Brian Green and Howard Smith as joint administrators after weak trading over November and December forced the firm the seek a buyer.

The deal will see DWF take on 491 of Cobbetts’ employees, including 72 partners, based in offices in Manchester, Leeds, Birmingham and London.

All training contracts currently underway will be maintained, as well as any future contracts already in place.

Cobbetts’ employees will gradually move over to integrate with the DWF team, however one finance litigation team headed by Andrew Bennett will not be part of the move as a result of commercial conflicts after DWF’s merger with Fishburns.

Incasso, Cobbetts’ debt recovery team, will also not be involved in the acquisition, although the buying firm has pledged to assist with client affairs in the immediate future.

DWF’s chief executive and managing partner, Andrew Leaitherland, commented: “Both firms agreed that this was the best route forward and so the process was a smooth one, with the two parties working towards the same outcome.

“This is the latest milestone in what is already proving to be a positive year for DWF and one that continues along our clearly defined plan of strategic growth.

“It’s crucial that when exploring deals such as these we are certain that the move is the right one, and we’re extremely confident that this is the case, with it further reinforcing our sector expertise, business knowledge and our ability to best serve our clients’ business interests.”

Mark Firmin of KPMG added: “In the current economic climate we are delighted to have brokered a deal that saves more than 400 jobs.

“ We have moved swiftly, working in collaboration with a number of stakeholders including the Solicitors Regulation Authority. This is a strong result and an important step forward for DWF in the market.“

Deloitte provided strategic advice to DWF from its Manchester office, led by restructuring services partner, Bill Dawson and assistant director, Rick Harrison.

Mr Dawson commented: “This has been a difficult time for Cobbetts, a highly regarded national law firm with a proud history.

“However, we are pleased to have helped achieve a transaction which gives partners, employees and other stakeholders the best outcome in the circumstances and should help to ensure minimal disruption of service to clients of Cobbetts.

“We think the quality of partners and people joining DWF will support the firm’s growth strategy and help it continue to go from strength to strength.”

This was posted in Bdaily's Members' News section by Miranda Dobson .