Frankfurt Merger Hands Paul Hastings Long-Awaited German Debut

The firm had been looking for a German launch since 2003, and has its eyes on Korea next

James Illman

Legal Week

December 13, 2007

U.S. firm Paul, Hastings, Janofsky & Walker has made its long-awaited German debut after brokering a deal to absorb respected 27-lawyer Frankfurt boutique Smeets Haas Wolff.

All five Smeets Haas partners will join the Los Angeles-based firm as equity partners when the combination goes live on January 3, 2008.

The German outfit focuses on corporate, banking and restructuring work and boasts a strong client roster that includes Credit Suisse, Deutsche Bank, Morgan Stanley, Royal Bank of Scotland and Wachovia.

The Frankfurt firm was formed in 2001 by former Freshfields Bruckhaus Deringer banking and finance associates Peter Smeets and Hergen Haas plus former Hengeler Mueller corporate and M&A associate Christopher Wolff.

The move represents the end of a long search by Los Angeles-based Paul Hastings to launch in Germany.

In 2003 Legal Week first reported that the firm was looking to launch in Europe's largest economy -- around the time the firm made its Paris debut after merging with 60-lawyer local boutique Moquet Borde & Associes.

Since then the firm has continued to build its European practice, opening in Milan in 2005 and recently focusing on building up its London operation, which it launched in 1997.

Recent notable additions to the London arm include its hiring Kirkland & Ellis private equity partner Michelle English in November and snaring Berwin Leighton Paisner international projects head Jonathan Simpson in January.

Commenting on the merger, Smeets told Legal Week: "Between 75 percent and 85 percent of our fee income was being generated by clients based in London and it seemed a necessary step to join an international firm in order to grow our practice."

He added: "We were approached by a large number of international law firms but we felt the values in Paul Hastings were the perfect fit for us."

Paul Hastings Chairman Seth Zachary said: "Our first priority will be to grow Frankfurt but ultimately we would like to expand to other German markets."

Zachery added that the next jurisdiction on the firm's radar in terms of international expansion is Korea.