CMS considers dropping branding as it homes in on US deal
The CMS network, which includes UK firm CMS Cameron McKenna, is considering dropping the ‘CMS’ identity as part of its hunt for a US member.
Matthew Gorman
The network is sending scouting parties to the States over the summer led by three of the international network’s most influential partners: UK managing partner Duncan Weston, executive committee chairman Cornelius Brandi and French managing partner Pierre-Sebastien Thillare. Senior sources at CMS confirmed that the appetite for attracting a significant new member is such that it is prepared to consider dismantling previously sacrosanct elements of the network’s infrastructure including its ‘CMS’ identity.
“But the US firm would need to give ground on their name as well,” confirms the source.
The extent of CMS’ desire to attract a new US member is revealed in an in-depth feature in today’s The Lawyer in which CMS executive director Matthew Gorman provides some specifics of what Weston, Brandi and Thill will be looking for on their travels.
Duncan Weston
“It would most likely include a New York capability, a Washington capability, and decent national coverage, which means capability on the east and west coast,” said Gorman. “And then the right cultural fit. We think we’re an attractive proposition but it’s a two-way street. Any [US] partner would have to offer us things in return.”
This year for the first time CMS has made a play to make itself more attractive by producing a single revenue and profit figure for the CMS network. The move highlights the size of the network, which last year posted a total revenue of £691.97m. In contrast CMS Cameron McKenna, the network’s largest single firm, posted a total turnover of £167.58m last year.
Camerons’ average profit per equity partner (PEP) however significantly exceeded that of the 10-firm network. Camerons’ PEP was £631,883 while that of the CMS network was £464,796.
Readers' comments (7)
Anon | 30-Jul-2012 10:50 am
CMS clearly needs to:
- integrate as a single firm;
- complete a US merger;
- expand in emerging markets; and
- simplify branding;
and it is good to see that the management largely understand this.
However dropping the CMS name does not seem to be a particularly bright idea, since it is well known in Europe.
Were a merger to be done with a US firm, why can't the combined firm, at least initially, be called "CMS_name of US firm"?
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Whoops | 30-Jul-2012 10:59 am
Great front page of the Lawyer Magazine this morning made me think 'Cameron McKenna have had their chips'. Used to be a good place to work but they've treated their support staff appallingly and for this reason I have no sympathy for them at all. PEP is nowhere near that of 3-4 years ago and the weakening of the Euro (or even it's imminent implosion) means Sterling revenues will fall in this regards.
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Whoops Again | 30-Jul-2012 11:01 am
'Any [US] partner would have to offer us things in return.'. Lol, what about some cash to prop them up?
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Numbers Up | 30-Jul-2012 11:17 am
Does the £167.58m include Cameron McKenna's European offices (which are differnet from those run by the other 10 firms)? This is about as clear as the Cameron McKenna lockstep.
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Simon | 30-Jul-2012 12:27 pm
This firm/network is drifting. The management are asleep at the wheel.
With the crisis and imminent implosion in the Eurozone, rapid legal market consolidation, and the West's rapidly falling share of world GDP, that is unforgiveable.
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Anonymous | 2-Aug-2012 2:19 pm
I was surprised by the claim ('Whoops' above) that Camerons' PEP was "nowhere near that of 3-4 years ago" because, while lots of firms have suffered since 2008, my understanding was that it's breadth of practice and strength in insolvency/litigation meant that it had done rather better than most of late. So I looked up the figures. PEP for 2008/9 was £554K, compared with £632 now. So by 'nowhere near' are we supposed to understand '14% higher'? - which is sort of OK for a period of low interest rates, low inflation and financial instability. Perhaps there are more exciting firms out there, perhaps there are more successful and better managed firms. Who can say, given so much written about law firm management is hype and speculation? But the evidence seems to be that, in a difficult market, Camerons are far from the worst outfit. Isn't it time that the small clique of embittered people who seem to follow every story about the firm with a stream of ill-considered invective got on with the rest of their lives?
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Anonymous | 3-Aug-2012 3:20 pm
What happened to the 'WE ARE EUROPEAN' motto? Only a certain bumb blond I know actually got excited over this one...
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