Deloitte is spearheading a push into legal services, doubling the size of its offering, by acquiring Kemp Little, a leading technology and digital media law firm
The transaction will see Deloitte Legal add 29 partners and up to 57 lawyers, bringing the lawyer headcount in the UK to more than 170, up from approximately 85 currently.
Founded in 1997 and headquartered in London, Kemp Little offers legal services in commercial technology, corporate, employment, data protection, disputes, IP and financial regulation.
The law firm also has a successful track record in developing award-winning legaltech products that are aligned to its technology focus, including Dupe Killer, an AI-powered IP protection tool, and 4Corners, a contract analysis system.
Kemp Little recorded revenues of £16.5m and profits of £6.3m in the year to April 2019, according to its latest accounts.
Deloitte said the future combination of the two firms’ capabilities will see Deloitte Legal offer clients a much broader and deeper range of legal expertise to complement existing services in advisory, technology, legal management consultancy and legal managed services.
Richard Houston, senior partner and chief executive of Deloitte North and South Europe, said: ‘This transaction marks a key moment in the growth of Deloitte Legal.
‘This demonstrates our confidence and willingness to invest where there is clear market demand.
‘The Covid-19 pandemic has clearly shown that investment in technology will be a critical catalyst for the recovery of UK businesses.
‘Business leaders are looking for more digital ways of operating, setting the stage for significant and longer-term cultural change. On completion, this transaction, with technology at its core, will ensure Deloitte Legal is well positioned to help businesses thrive as they transition to new ways of working.’
Andrew Joint, managing partner for Kemp Little, said: ‘Having already collaborated on a number of projects in the past, Deloitte Legal and Kemp Little have a track record of working together successfully.
‘The team at Deloitte Legal is growing a unique and exciting combination of technology, consulting and legal advisory skills, and also benefits from the Deloitte network’s global scale.’
Details of the terms of the transaction have not been disclosed. On completion, Deloitte Legal will grow to more than 370 people in the UK.
According to its latest annual report, Deloitte’s tax and legal department saw a 7.1% increase in revenues over the year to reach £939m, placing in second in terms of revenues to the firm’s consulting business. However, Deloitte does not split out how much revenue is from legal services and how much from tax-related work.