Katten Targets $5M Profits as Wood Smith Lands Investment Deal
Weil, Gotshal & Manges LLP is reportedly negotiating a merger with an unnamed law firm, though the deal is not guaranteed. The talks come amid a wave of partner departures in the U.S. and London that have fueled speculation about a merger. Recent exits include corporate chair Michael Aiello, who is joining Cravath, Swaine & Moore LLP, and former corporate co-managing partner Michael Hickey, who is expected to join Sullivan & Cromwell LLP. Several other practice group leaders have also reportedly explored moves to rival firms, including Simpson Thacher & Bartlett LLP and Paul, Weiss, Rifkind, Wharton & Garrison LLP, as Weil looks to stabilize its partnership and remain competitive.
MARKET MOVEMENTS
Ashurst Perkins Coie enters Houston with two attorneys from Bracewell LLP, Thomas Tomlinson and Tamara McKinzie
Apple brings on Meta legal veteran, Scott Tucker, to lead litigation
Paul Hastings adds three litigators in California from Sheppard: Craig Cardon, Jay T. Ramsey, and Abby Meyer
Weil, Gotshal & Manges LLP hires ex-Paul, Weiss, Rifkind, Wharton & Garrison LLP antitrust Partner in New York, Yuni Yan Sobel
FIRM SPOTLIGHT - BLANK ROME LLP
Founded in Philadelphia in 1946, Blank Rome LLP has grown into a national and international law firm with approximately 800 attorneys across 16 offices in the United States and China. The firm offers a broad range of legal services, including real estate, transportation, energy, financial services, intellectual property, technology, cybersecurity, healthcare, and entertainment, alongside nationally recognized maritime, matrimonial, insurance recovery, and government contracts practices.
Built on a founding commitment to diversity and inclusion, Blank Rome LLP has expanded its capabilities to include government relations and lobbying through its subsidiary, Blank Rome Government Relations LLC, established in 2003. The firm also prioritizes attorney development through regular career advising, structured feedback, and hands-on training programs, including its annual Trial Academy, where associates participate in mock trials alongside experienced attorneys and judges.
INDUSTRY INSIGHTS
BCLP is raising first-year associate salaries to $225,000 in most U.S. markets, $215,000 in select cities, £135,000 in London, €130,000 in Germany and €95,000 in France starting next year.
Harvey and Legora, two AI platforms designed for the legal sector, are currently valued at $15.5 billion and $5.55 billion, respectively.
Investors committed $2.8 billion to U.S. litigation finance deals in 2025, while family offices are projected to grow 75% from 2019 to 2030, with the wealth they manage expected to reach $9.5 trillion, according to Westfleet Advisors and Deloitte.
Robert Half projects legal salaries to rise 2.2% in 2027, with in-house counsel with 4–9 years of experience seeing 3.4% growth; over 60% of in-house employers offer higher pay for AI skills, and 65% offer higher-than-planned salaries to new hires.
Katten Targets $5M in Partner Profits by 2030
Katten Muchin Rosenman LLP aims to increase its profit per equity partner from $3.3 million in 2025 to $5 million by 2030 without pursuing a major merger or private equity investment. As part of its Katten 2030 strategy, the firm plans to grow its lawyer headcount from approximately 650 to 800, prioritizing lateral partner and team hires, particularly in London, where it wants to expand its corporate, structured finance and cross-border transactional capabilities. The firm is also emphasizing collaboration across practice groups, shared business development incentives and AI-driven efficiency to strengthen client relationships, generate new business and improve profitability.
Wood Smith Becomes Largest U.S. Firm to Announce MSO Investment Deal
Wood, Smith, Henning & Berman LLP, which had 565 attorneys in the latest Law360 400 ranking, has secured an investment deal with Charlesbank Capital Partners through a managed services organization (MSO), making it the largest U.S. law firm to publicly announce such an arrangement. The deal will support the firm’s expansion plans, investments in artificial intelligence and advanced client analytics, while allowing approximately 200 partners and senior business staff to receive equity in the MSO. The transaction reflects growing private equity interest in law firms through MSO structures, which separate business operations from legal practice to allow outside investment. Industry experts expect the deal to encourage more firms, particularly in insurance defense, to explore similar arrangements as competition for talent, technology and capital intensifies.
