Spanish firm Cuatrecasas is set to share profits and create joint practice teams with the members of its Iberian alliance
The alliance, CGMP, is developing common teams of lawyers working in M&A and tax. The firms will share almost 10 per cent of their combined profits. CGMP contains Cuatrecasas, Portuguese firm Gonçalves Pereira, Brazilian firm Machado Meyer Sendacz e Opice and Argentine firm Pérez Alati Grondona Benites Arntsen & Martínez de Hoz. The firms will spend their shared profits on developing the common teams as well as joint marketing and some operational integration. Cuatrecasas international development partner Enric Picanyol Roig told The Lawyer: "The alliance already has a shared New York office and this is our next joint project. It is not full financial integration, but it is a financial commitment towards greater integration. To have a real alliance you have to put shared money into it. This is what makes an alliance mean more than an organisation where you just refer work to each other and have biannual meetings." Cuatrecasas was tipped to become the next member of the exclusive Herbert Smith alliance, which contains German firm Gleiss Lutz Hootz Hirsch and Dutch and Belgian firm Stibbe. However, Picanyol Roig said that an exclusive alliance with Herbert Smith is now unlikely to happen. "When our clients have a UK deal we know we're fortunate to be able to work with Herbert Smith. But our relationship will not develop in the way Stibbe and Gleiss' relationship with them did," he said.