Allen & Overy Still Open to Merger, but Transatlantic Deals Rare

London-based Allen & Overy still wants a U.S. partner, but nailing down a transatlantic merger has long been challenging for U.K. law firms as A&O’s failed talks with O’Melveny & Myers demonstrate.

High Bar: Culture clashes, compensation, and governance issues appear to be stumbling blocks for U.S.—U.K. legal tie-ups as few have crystallized. Throw in a rockier global economy, and near-term prospects may be tougher.

Match Game: Law firm consultant Kent Zimmermann says A&O offers scale and still might be an attractive partner. “For A&O, a U.S. firm with strengths in sectors such as energy, infrastructure, technology and banking could ...