Rothgerber, Johnson & Lyons

Background and Objectives:

The client firm was a 75-lawyer Denver firm with a sterling market reputation and growing profits.  The firm had been approached by several potential market entrants exploring a merger, and firm management wanted to develop a logical, culture-driven, and thorough approach to its strategic options. 

Approach and Implementation: 

In collaboration with market leaders, we analyzed the firm’s market position from both an external and internal perspective.  Using the firm’s unique differentiators, we mapped out potential strategic alternatives including maintaining the status quo, thinning to niche practices, aggressive regional acquisitions, and mergers.  We projected results for each option, and examined timelines, costs, and the likelihood of success. 

Once the firm settled on a growth path, we considered markets for strategic expansion by looking at complementary and supplementary client and industry markets and trajectories, as well as law firm market saturation.  We vetted in more detail two markets that presented different opportunities for growth, and ranked potential merger partners using a weighted scale/scorecard.  We developed a strategy to approach multiple potential merger partners to allow the client to compare and contrast opportunities.  After narrowing to one possible firm, we helped vet culture, finances, and demographics, and helped to develop a business case for the merger.  We then partnered with our client’s merger committee to craft a merger process, craft committee agendas and responsibilities, craft presentations to build cross-firm consensus, and advocate and advise on a wide range of issues such as governance, compensation, more detailed business planning, pro forma projections, and integration issues. 

Deliverables included internal and external market position studies, refined firm differentiators, cross-comparatives of strategic alternatives, geographic market analyses, vetting memos for potential merger partners, memos to develop consistent and comparable approaches to possible merger partners, a combination business plan, merger committee meeting agendas, and memos of advice and advocacy on many issues. 

Impact: 

This strong, legacy Denver firm expanded into new markets and grew well by leveraging broader practice areas, increased bench strength, and expanded geographic reach.  The combined firm has since merged again with an international firm.