City Law Firm Taylor Wessing Nears Transatlantic Merger with Winston and Strawn

Taylor Wessing, ranked as the twentieth largest law firm in the United Kingdom by revenue, is close to finalising a merger with Chicago-based Winston and Strawn. Partners at the City of London firm have confirmed advanced talks that, if successful, would create a transatlantic legal business with a combined revenue of £1.23 billion. The deal marks a significant push by UK firms to cement a presence in the American legal market, the largest in the world.

The proposed merger is likely to prompt major changes within Taylor Wessing’s European network. Partnerships in the Netherlands, Belgium, Ireland, and the Middle East are expected to join forces with the new US entity. In contrast, the firm’s German and French branches are reportedly preparing to operate independently. This restructuring would reshape the firm’s footprint across Europe.

Taylor Wessing, known for its technological sector expertise, recently advised on a major acquisition in artificial intelligence, overseeing the $90 million purchase of Crownpeak by Rezolve AI. The London firm’s current annual revenue stands at £283.7 million, while Winston and Strawn reported £946 million last year. Despite the scale of the combined operation, notable disparities in partner remuneration exist, with average pay for full-equity partners at Taylor Wessing reaching £1.1 million. This equates to roughly 40 per cent of the $3.5 million earned by peers at the Chicago firm.

The German element of Taylor Wessing, structured as a European verein, represents the firm’s most substantial regional presence and generated an estimated £188 million last year. Approval of the merger will require support from at least 75 per cent of the partnership, although the timing of this vote has not been confirmed.

Currently, Taylor Wessing maintains a modest American presence, limited to New York and San Francisco offices. Winston and Strawn, in comparison, operates from its Chicago headquarters and maintains nine offices across the United States. The prospective merger aligns with a series of recent transatlantic tie-ups among City firms seeking to expand their reach and influence.

Notable recent examples include Ashurst, which agreed a deal with Perkins Coie to form a 3,000-lawyer practice with annual revenue approaching £2 billion, and Herbert Smith Freehills’ acquisition of Kramer Levin, creating a 2,700-lawyer venture with revenue reaching $2 billion. The largest such merger in recent years occurred in April 2021, when Allen and Overy joined with Shearman and Sterling in a union that brought together 3,950 lawyers across 48 offices and generated £2.87 billion in annual revenue.