Latest news with #Kirkland&Ellis
Yahoo
20 hours ago
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Oil & Gas Deals Are Tanking. The World's Top M&A Law Firm Has Been Here Before
(Bloomberg) -- Kirkland & Ellis spent a decade building a billion dollar-plus energy and infrastructure business and becoming the top legal adviser for US oil and gas deals. It was perfectly placed to benefit from Donald Trump's 'drill, baby, drill' agenda. Next Stop: Rancho Cucamonga! Where Public Transit Systems Are Bouncing Back Around the World Trump Said He Fired the National Portrait Gallery Director. She's Still There. ICE Moves to DNA-Test Families Targeted for Deportation with New Contract US Housing Agency Vulnerable to Fraud After DOGE Cuts, Documents Warn Then, the US president's global trade war tanked the price of crude and stifled transactions in the country's oil patch, which are down by more than 40% this year, Bloomberg-compiled data show. Kirkland has also found itself among firms caught up in the US government's attacks on big law. With Brent crude hovering around $65 a barrel, Kirkland is looking at other corners of the energy industry, as well as adjacent areas, to help plug the gap. It's notched some big wins this year, including working on one of the largest deals of 2025: Constellation Energy Corp.'s near-$30 billion takeover of power station operator Calpine Corp. Diversifying away from fossil fuel clients has become more pressing for Kirkland after multiple consolidation waves in the sector reduced the number of listed drillers and pipeline operators the firm can tap. 'It's kind of a dwindling business from a public company perspective,' partner Sean Wheeler said. 'It's kind of incumbent upon us to try to expand our remit a bit.' Kirkland's energy and infrastructure business generated about $1.5 billion last year, or roughly 15% of group revenue, people familiar with the matter said—with the US being the main engine. That figure is up from just $30 million in 2014, when Kirkland first arrived in Houston. The firm is seeking more of a foothold in mergers and acquisitions internationally and, for many at the firm, the story of its foray into the heartland of American oil provides a blueprint for how it might try to conquer new markets. A Complete Unknown Back in the spring of 2014, there were plenty of reasons to be skeptical about Kirkland's efforts to break into energy M&A. Founded in Chicago in 1909, the firm had long been an established player in Washington, DC and on Wall Street, but was a completely unknown entity in Texas, where law firms like Vinson & Elkins and Baker Botts dominated. The handful of Kirkland lawyers who landed in Houston to launch the firm's energy practice already had return tickets to Chicago in their pockets in case things didn't work out. 'People around town would ask 'who is Kirkland? What are you guys doing?',' recalls Kyle Watson, a partner at the firm who was among the first on the ground in the Lone Star state and is still based there. To help fix that, Kirkland poached Andrew Calder from Simpson Thacher & Bartlett in Houston and tasked him with leading the build out. A Scotsman with a thick accent, Calder brought strong connections to the likes of Blackstone Inc. and KKR & Co. and had a track record of advising leading energy companies. On his watch, Kirkland prioritized hiring local talent to show it wasn't just, as Calder puts it, 'a bunch of guys with funny accents that were hard chargers and only wanted to do private equity.' Those early recruits included Will Bos from Vinson & Elkins and David Castro from Baker Botts. Shortly after opening a 1,000 square foot office in Houston, Kirkland booked the late county singer Jerry Jeff Walker — best known for his 1968 song 'Mr. Bojangles' — to perform at an event at the annual North American Prospect Expo. The concert was designed to announce the firm's arrival on the scene. 'I was so nervous,' says Calder, 46. 'We were, like, is anybody going to show up?' They did, and Kirkland was soon advising on deals for new buyout clients, as well as strategic players such as C&J Energy Services Inc. The small group of Houston attorneys would ask colleagues in New York to chip in as they jumped from one transaction to the next. 'There was no time to take a breath,' said Watson. 'You were just trying to get deal done, get deal done, get deal done.' What Kirkland didn't envisage was that M&A in the sector would halve in 2015, as excess oil supply sent crude prices crashing. Bankruptcies ensued and, overnight, the firm found itself in demand because of its reputation as a restructuring specialist. Weil Gotshal & Manges, another prominent adviser in distressed situations, had left an opening by scaling down its presence in Texas. Bonanza Creek Energy Inc., Energy Future Holdings Corp. and Midstates Petroleum Co. were among those that came knocking. Some remained clients of Kirkland and kept the firm on speed dial when M&A work returned. 'Good timing played a big part in that initial success,' said Justin Stolte, a partner Latham & Watkins — one of Kirkland's main rivals in US energy dealmaking. 'But from that point forward they made their own luck.' US energy deals slowly began climbing, and hit a new record in 2018. By then, Kirkland was a top three adviser in the sector when measured by number of transactions and was branching out, working on more infrastructure deals as private equity firms sought out ways to benefit from a transition to cleaner forms of energy. It was also still hiring lawyers, with the promise of a fast-track to partner: Associates typically enter Kirkland's non-equity partnership after six years, assuming leadership roles that competitors would make available later. Wheeler, a public company attorney, agreed to join Kirkland in the summer of 2018 from Latham. He's since brought in multibillion-dollar deals from the likes of Marathon Oil Corp., ONEOK Inc. and others. 'Kirkland is pretty entrepreneurial,' said David Foley, a Blackstone senior managing director and a long-time client. 'They evaluate stuff and if they decide that it's a good business and a growing one, and they're not in it, they can make decisions to really commit the firm's capital to hire top-notch talent.' 'Dog Fight' Kirkland hit the top of the legal advisory rankings for US energy deals by value for the first time in 2022, Bloomberg-compiled data show. It slipped back to eighth the following year after missing out on the mammoth Exxon Mobil-Pioneer and Chevron-Hess deals, before reclaiming the number one spot in 2024 thanks to its role advising local giant Marathon on its roughly $23 billion takeover by ConocoPhillips. At the most recent NAPE summit in February, Kirkland partners no longer needed to worry whether anyone would show up. This year, the firm handed out neckties emblazoned with oil-related motifs — instantly recognizable to longtime attendees of the expo. For years, rival Vinson & Elkins had given away the same promotional swag, with oil execs sometimes wearing them in television interviews as an insider nod to the event. Vinson retired the neckties during the pandemic as fewer people donned formal officewear, but Kirkland decide to bring them back. The line to grab one was longer than the queue for a neighboring stall, which was giving away free cigars. 'It's a dog fight down here, it really is,' said Calder. 'So far, we've been on the right side of it.' Both Kirkland's energy and transactional groups fall under the purview of Calder, who sits on Kirkland's 20-person executive committee and helps Chairman Jon Ballis run the firm together with other equity partners. Ballis and his lieutenants often reach key decisions through informal conversations, rather than via committee meetings — an approach that insiders say allows Kirkland to move quickly in competitive situations. In May, Kirkland poached a group of lawyers from Skadden Arps Slate Meagher & Flom after putting together an offer in just 24 hours. 'Time is the enemy of all deals and this is our kind of deal,' Ballis said of the hires. Kirkland's energy and infrastructure division now houses roughly 550 staff spread across the US and beyond. Public companies account for around 30% of its energy dealflow, according to people familiar with the matter, who asked not to be identified discussing confidential information. In some ways, Kirkland has become a victim of its own success in Houston. In a close-knit industry town, the firm can sometimes find itself facing a tough choice of whether to work for a strategic or private equity client in an M&A situation. And picking up more mandates in areas like infrastructure and industrials can be more of a challenge from Texas, according to Wheeler. 'There is a bit of a marketing issue for us when trying to expand into different sectors,' he said. 'People see you in Houston, they think all you know how to do is drill well.' Kirkland's Houston crew has picked up some other big mandates away from pure-play oil and gas this year, advising Brookfield Infrastructure Partners LP on its $9 billion acquisition of fuel pipeline company Colonial Enterprises Inc. and helping Blackstone Infrastructure on its $11.5 billion purchase of New Mexico utility owner TXNM Energy Inc. Growth outside of the US has been harder to come by, despite efforts to capture more international business with new hires and offices abroad. Although the top law firm for deals globally, Kirkland ranked eighth for legal advice on transactions outside the US last year, Bloomberg-compiled data show; in the energy and industrials sectors, it wasn't in the top 10. Calder cites the Middle East and China as regions where the firm might look to do more. What happens next at Kirkland is likely to be overseen by someone other than Ballis, who, at 56, is nearing the age of 60 at which the firm expects partners to start winding down and relinquish seats on its executive committee. Calder is considered a strong contender to succeed him, people familiar with the matter said, with litigation partner Andrew Kassof another name that regularly comes up. Ballis has some words of advice for running the firm. 'You just keep waiting to see where's the ball bouncing and we keep running with it,' Ballis said. 'As long as it keeps bouncing the right way.' --With assistance from Alex Tribou. The SEC Pinned Its Hack on a Few Hapless Day Traders. The Full Story Is Far More Troubling Cavs Owner Dan Gilbert Wants to Donate His Billions—and Walk Again Is Elon Musk's Political Capital Spent? What Does Musk-Trump Split Mean for a 'Big, Beautiful Bill'? Cuts to US Aid Imperil the World's Largest HIV Treatment Program ©2025 Bloomberg L.P. 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Yahoo
7 days ago
- Business
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Thoma Bravo Completes $34.4 Billion Fundraise
Clear Support for Thoma Bravo's Strategy of Investing in Leading Software Companies and Commitment to Returning Liquidity to Investors Across Market Cycles SAN FRANCISCO, MIAMI, LONDON and CHICAGO, June 3, 2025 /PRNewswire/ -- Thoma Bravo, a leading software investment firm, today announced the completion of fundraising for its buyout funds totaling more than $34.4 billion in fund commitments: Thoma Bravo Fund XVI, a $24.3 billion fund, Thoma Bravo Discover Fund V, an $8.1 billion fund, and as previously announced the firm's first dedicated Europe Fund, with approximately €1.8 billion in capital commitments (individually, a "Fund" and collectively, the "Funds"). The fundraise demonstrates strong support from Thoma Bravo's diverse network of investors for the firm's buyout strategies. Each fund significantly exceeded its target. Thoma Bravo Fund XVI and the Europe Fund were oversubscribed and achieved their hard caps and Thoma Bravo Discover V experienced an over 30% increase in commitments from its prior vintage. "We are deeply grateful to our investors for their continued confidence in Thoma Bravo," said Orlando Bravo, a Founder and Managing Partner at Thoma Bravo. "This fundraise is a testament to the strong relationships we've built with our investors over many years and reflects their belief in our ability to drive meaningful results. Their support will enable us to continue delivering on the strategy we have executed for more than two decades – pursuing leading software companies and deploying our strategic and operational expertise to drive innovation and profitable growth." "The successful completion of our fundraise underscores the enduring trust our investors have in Thoma Bravo's approach and team," said Jennifer James, Managing Director, Chief Operating Officer and Head of Investor Relations & Marketing at Thoma Bravo. "All three funds far exceeded their targets, reflecting not only the strength of our investor relationships but also their conviction in our ability to navigate complex markets. We look forward to continuing to be good stewards of our investors' capital as we seek to deliver strong outcomes." Thoma Bravo has had an active 12 months on both the buy and sell side, with buyout fund investments and realizations representing approximately $35 billion in combined enterprise value. The firm has invested in more than 535 software companies, and today, its software portfolio includes over 75 companies that generate approximately $30 billion of annual revenue and employ over 93,000 staff globally. Commitments to the Funds were secured from Thoma Bravo's broad network of global investors, including sovereign wealth funds, public pension funds, multinational corporations, insurance companies, fund-of-funds, endowments, foundations and family offices. Kirkland & Ellis served as legal advisor for the Funds. About Thoma Bravo Thoma Bravo is one of the largest software-focused investors in the world, with approximately $184 billion in assets under management as of March 31, 2025. Through its private equity, growth equity and credit strategies, the firm invests in growth-oriented, innovative companies operating in the software and technology sectors. Leveraging Thoma Bravo's deep sector knowledge and strategic and operational expertise, the firm collaborates with its portfolio companies to implement operating best practices and drive growth initiatives. Over the past 20+ years, the firm has acquired or invested in approximately 535 companies representing approximately $275 billion in enterprise value (including control and non-control investments). The firm has offices in Chicago, Dallas, London, Miami, New York and San Francisco. For more information, visit Thoma Bravo's website at Thoma Bravo ContactsMegan Frank +1.212.731.4778 mfrank@ Global Liz Micci / Abigail Farr+1.646.957.2067ThomaBravo-US@ View original content to download multimedia: SOURCE Thoma Bravo Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
17-04-2025
- Business
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Other voices: The integrity of the legal profession is at stake
The bare-knuckled tactics of Trump 2.0 have brought some once-mighty companies and institutions to their knees. Many of the nation's most prominent places of higher education such as Columbia University improbably have agreed in the face of federal funding threats to Trump administration demands on how they deal with dissent on their campuses and even what courses to offer in certain disciplines. Industries, including automakers, have been subject to Trumpian threats if they raise prices even in the face of substantial increases in their costs due to the president's obsession with tariffs. We have yet to see how those companies respond when they face the inevitable choice between substantial decline in profitability and Donald Trump's wrath. But perhaps no institution has come under more duress in the three months since Trump began his second term than the legal profession. Some of the country's biggest law firms — from Paul Weiss to Skadden Arps — have struck deals with the administration to provide hundreds of millions collectively in free legal work for causes Trump favors. They did so after Trump signed executive orders terminating federal contracts for their services and removing security clearances for their attorneys or threatened to do so. Kirkland & Ellis, the nation's largest firm, headquartered in Chicago, is reportedly facing similar threats and is said to be negotiating with the administration. These executive orders almost certainly are unconstitutional, but the firms that have capitulated clearly have made the decision that their businesses were too much at risk to fight. The fear is understandable. Some major corporate clients needing legal representation may not wait to see if the law firm to which it's paying hourly rates in the high hundreds will manage to extricate itself from a Trump-ordered federal freeze-out. . Thankfully, a few firms have chosen differently, led by Chicago-based Jenner & Block. Jenner has won a temporary restraining order against Trump's absurd March 25 executive order targeting the firm for having the temerity to hire a lawyer years ago who worked on special counsel Robert Mueller's probe of Russia's alleged interference in the 2016 election on behalf of Trump. That attorney, Andrew Weissmann, left Jenner in 2021. Jenner now is seeking to have the executive order thrown out. It's no accident Trump has targeted law firms so aggressively. In the first two years of Trump's first term, when Republicans controlled both houses of Congress, it was lawyers and judges who proved to be among the strongest roadblocks to the president's policy goals. Apart from Trump's clearly articulated desire for revenge against people and institutions he feels have wronged him, there's a more nefarious double-pronged strategy at work in this attack on Big Law. The first is that with every settlement, each of which features a pledge to perform free legal work on causes approved by the administration, the president's team is amassing an army of the best, most well-compensated attorneys in America to fight its battles in court. At an event Tuesday in which Trump promised to revive the U.S. coal industry, the president said, 'Have you noticed that lots of law firms have been signing up with Trump?' Speaking to coal industry representatives, the president said, 'We're going to use some of those firms to work with you on your leasing and your other things.' Helping producers of some of the most polluting energy sources on Earth gain more access to federal lands and challenge environmental restrictions isn't what comes first to mind for most folks when they think of the rightful beneficiaries of pro bono legal services. But here we are. Secondly, the assaults on the nation's biggest law firms — and the quick surrenders by many of them — have a potentially chilling effect on all firms' decisions of whether to help certain kinds of clients even if they're willing and able to pay for these firms' services. Trump has demonstrated that he will seek to punish firms for representing clients he doesn't like. The rule of law in the U.S. — with foundations based on centuries of progress in Britain forged through battles between subjects and monarchs over what constitutes a fair and just society — is the envy of the world for good reason. A critical underpinning of justice in America is the right to counsel — and the freedom of lawyers to zealously represent any client, no matter how unpopular, distasteful or out of favor with the powers that be. That's what's at stake in this unprecedented attempt by a U.S. president to gain control of this vital cog in our civic workings. Jenner & Block — along with Perkins Coie and WilmerHale, which also are combating Trump's pressure games — is on the right side in this fight and should be commended for its courage. The remainder of Jenner's peers who haven't already capitulated should follow the lead of these three. There's strength in numbers. — The Chicago Tribune
Yahoo
16-04-2025
- Business
- Yahoo
Kirkland & Ellis emerges as leading M&A legal adviser in North America for Q1 2025
Kirkland & Ellis has emerged as the foremost mergers and acquisitions (M&A) legal adviser in terms of value and volume in North America for the first quarter of 2025, according to GlobalData's latest legal advisers league table. GlobalData ranks legal advisers by the value and volume of M&A deals on which they advised. According to GlobalData's Deals Database, Kirkland & Ellis secured its top position by advising on 96 deals with a total value of $90bn during the first quarter of 2025. GlobalData lead analyst Aurojyoti Bose said: 'Kirkland & Ellis was the clear winner, outpacing its peers by a significant margin in terms of deal volume as well as value during Q1 2025. It just fell shy of hitting the triple-digit deal volume during Q1 2025. It is also interesting to note that Kirkland & Ellis was also the top adviser by volume in Q1 2024. 'Kirkland & Ellis also stayed much ahead of its peers in terms of value as well. It went ahead from occupying the fourth position by value in Q1 2024 to top the chart by this metric in Q1 2025 as there was a significant growth in the total value of deals advised by it driven by some big-ticket deals. During Q1 2025, it advised on 18 billion-dollar deals* that also included two mega deals valued more than $10bn. Its significance can be understood from the fact that these 18 deals collectively accounted for more than $83bn.' In terms of value, Davis Polk & Wardwell ranked second, advising on deals worth $68.9bn, followed by Cravath Swaine & Moore with $57.6bn, Ropes & Gray with $56.3bn, and Debevoise & Plimpton with $44.9bn. When considering the volume of deals, Latham & Watkins took the second spot with 56 transactions, followed by Ropes & Gray with 42 deals, Simpson Thacher & Bartlett with 31 deals, and Gibson, Dunn & Crutcher also with 31 deals. GlobalData's league tables are based on the real-time tracking of thousands of company websites, advisory firm websites and other reliable sources available on the secondary domain. A dedicated team of analysts monitors all these sources to gather in-depth details for each deal, including adviser names. To ensure further robustness to the data, the company also seeks submissions of deals from leading advisers. "Kirkland & Ellis emerges as leading M&A legal adviser in North America for Q1 2025" was originally created and published by Private Banker International, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
Yahoo
14-04-2025
- Business
- Yahoo
Targeted by Trump, more law firms choose pre-emptive appeasement
Heading into last week, Donald Trump's unprecedented campaign against the legal profession focused on eight prominent law firms. On Wednesday, the president added a ninth, and while doing so, he noted in passing that his target list included five additional firms, which he did not identify. The public didn't have to wait too long for an answer to that question. The New York Times reported: Five more prominent law firms facing potential punitive action by President Trump reached deals on Friday with the White House to provide a total of $600 million in free legal services to causes supported by the president. Four of the firms — Kirkland & Ellis, Latham & Watkins, A&O Shearman and Simpson Thacher & Bartlett — each agreed to provide $125 million in pro bono or free legal work, according to Mr. Trump. A fifth firm, Cadwalader, Wickersham & Taft, agreed to provide at least $100 million in pro bono work. Taken together, several giants from 'Big Law' have committed to nearly $1 billion in free legal services — despite the inconvenient fact that none of the firms has been credibly accused of wrongdoing. In fact, the president has conceded that the firms have 'done nothing wrong,' but he's targeting them anyway as part of a damaging and authoritarian-style attack. Other firms appear far less eager to roll over. Indeed, on the same afternoon in which Trump announced deals with five more firms, Susman Godfrey, targeted with an executive order days earlier, filed a federal lawsuit challenging the president's offensive. The Texas-based firm argued that the Republican's punishments were unconstitutional and 'a clear and harmful attempt to discourage law firms and their clients from challenging abuses of government power.' In a statement, Susman Godfrey said the firm was 'duty-bound' to push back against presidential abuse. 'No administration should be allowed to punish lawyers for simply doing their jobs, protecting Americans and their constitutional right to the legal process,' the firm said. 'But this goes far beyond law firms and lawyers. Today it is our firm under attack, but tomorrow it could be any of us.' As things stand, Trump has targeted 14 firms, four of which have fought back in response to presidential orders. Two firms, meanwhile, struck deals with Trump that led him to rescind the punishments he'd already imposed. Another firm that was hit with an order is still weighing its options. But as of Friday, the other seven firms — half of the overall total — chose pre-emptive appeasement: Members of this septet learned that the president was likely to punish the firm, prompting it to cave before Trump threw a punch. In case this weren't unsettling enough, The Wall Street Journal reported on a familiar figure the president has reportedly relied on to reach these agreements — and in a weird twist, he doesn't work for the White House or the administration in any formal capacity. Trump's personal lawyer Boris Epshteyn, who has been indicted in Arizona on charges related to Trump's 2020 election loss, has emerged as the face of the Trump administration's campaign against large law firms that it views as hostile to the president and his causes, according to lawyers at seven of the firms and White House officials. In a series of meetings and phone calls, Epshteyn has extracted large commitments of pro bono work for Trump-supported causes and changes to the law firms' hiring practices to Trump's preferences, the lawyers and officials said. As firms struck deals with the White House, it stood to reason that they were negotiating with White House officials. While The Wall Street Journal's report hasn't been independently verified by MSNBC or NBC News, if it's correct, it suggests that those assumptions were, at a minimum, incomplete — and Trump has instead turned to a controversial member of his private legal team to extract concessions. If that's the case, it raises a variety of other questions. Indeed, Talking Points Memo published an interesting analysis over the weekend, noting that if the president is making these deals in his personal capacity, it creates a qualitatively different kind of controversy. The Journal's report added that some of the law firms 'privately worried about negotiating with a lawyer who wasn't employed by the government and didn't have a government email address.' I don't imagine we've heard the last of this. This article was originally published on
