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The German arm of Ernst & Young is entering into a cooperative deal with two niche insolvency practices, giving them the capacity to take on complex international cases and compete with global firms.
Heidelberg-based insolvency firm Wellensiek is merging with Stuttgart boutique insolvency practice Dr Grub & Brugger in order to hook up with Ernst & Young Deutsche Allgemeine Treuhand.
The new 16-partner firm, known as Grub & Partner, will have offices in Heidelberg, Frankfurt, Berlin, Dresden, Erfurt, Leipzig, Hildesheim and Stuttgart.
It will offer a one-stop shop with Grub & Partners handling restructuring and administration work. Ernst & Young will be responsible for auditing and tax advice.
Ashurst Morris Crisp insolvency lawyer Andreas Vogel says the move is a sign that smaller firms are being forced to merge to meet the market needs.
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