Gordon Dadds is set to become the UK’s second law firm to list on a London market, after a reverse takeover deal by Work Group.
Work Group confirmed it was in advanced takeover discussions with Gordon Dadds on Thursday, in a deal that could be worth £18.75 million. If it goes ahead, in August the firm, will become the second UK law firm to list on a stock market.
Gordon Dadds group chief executive Adrian Biles commented:
“There is a significant opportunity to create a substantial legal practice in the UK and the proven Gordon Dadds’ business model is uniquely placed to be a major consolidator in this fragmented market.
“The admission to Aim will provide the necessary capital for the group’s next phase of development and will also serve to enhance the group’s profile with clients and potential acquisition targets.”
The deal follows the listing of law firm Gateley, which floated in 2015 and became the first UK law firm to do so. According to Legal Week, partners at Gateley made almost £6.4 million from selling shares in the firm.
The deal is still subject to shareholder approval from Work Group, who have described Gordon Dadds as an “acquisitive London based law firm with a twin track consolidation model to integrate mid-market law firms” under its name.