‘Slater & Gordon poised to swoop for Pannone’
A BREAK up of Manchester law firm Pannone is reportedly on the cards, with acquisitive Australian group Slater & Gordon linked with a deal to buy the majority of the firm.
Speculation over Pannone’s future as an independent firm has swirled the Manchester legal market for months, and it is understood that a partner vote on a strategic proposal will take place on Monday.
The Lawyer reports that Slater & Gordon, which recently swallowed Fentons in a £32.5m deal and last year Russell Jones & Walker, is conducting due diligence on Pannone and that a demerger of its private client business is expected.
On an operating level Pannone remains profitable, but it has debts of £13.9m, making new investment difficult in a changing and consolidating market.
An acquisition of Pannone’s highly-regarded personal injury, clinincal negligence, family and consumer law teams and would make Slater & Gordon one of the largest firms in Manchester.
Pannone’s commercial-facing departments are either expected to set up as a separate entity under a new brand, or find homes with other firms on a team-by-team basis.
Neither party were commenting on the reports today. A spokesperson for Pannone said: “We have been linked to many firms over recent years and will always look at opportunities which align with the firm’s strategic aims, however there is nothing to report on this particular rumour.”
Slater & Gordon, which is listed on Australia’s ASX stock market, said any announcement of a “material nature” would be made there first.
