Silverbeck Rymer acquisition takes Deal of the Month
THE acquisition of North West law firm Silverbeck Rymer by AIM-listed Quindell Group for £19.3m has been voted Deal of the Month by TheBusinessDesk.com’s panel of judges.
The deal, seen as the first of many in the legal-services sector, saw off JD Sports Fashion’s headline-grabbing purchase, via pre-pack administration, of ailing outdoor goods chain Blacks Leisure.
Six out of the 10 judges – who are all senior dealmakers, lawyers or financiers, opted for Silverbeck deal, followed by three for Blacks and one who voted for PZ Cusson’s acquisition of the Fudge haircare brand.
Jodi Birkett, transaction services partner at Deloitte said of the Silverbeck sale: “It is one of the first deals to be announced that takes advantage of the recently introduced Legal Services Act.
“In this environment, it is very positive to see a regulatory change driving M&A activity and I would expect businesses in the North West to benefit significantly from the availability of such investment.”
Adele Librae of law firm Lewis Hymanson Small added: “In doing this deal, Silverbeck Rymer are leading the way into the new legal world of Alternative Business Structures (ABSs).
“What makes this deal particularly interesting however is that it is not a blind venture into the unknown. On the contrary, the parties knew each other having already forged a successful business relationship.
“I think most law firms will be keeping a watchful eye on how this deal develops with interest.”
Ken Williamson, corporate finance partner at Ernst & Young agreed: “”We believe that it will represent the first of a number of deals in this sector driven by the implementation of the Legal Service Act.
“In general there is likely to be a great deal of consolidation in the legal market over the next few years, we have seen this already this year with the proposed mergers of Cobbetts and DWF and Pinsents & McGrigors, and this is a trend that is likely to continue. ”
