CPA Global is in talks with potential investors who are keen to take an equity stake in the legal outsourcing company. LDC, the private equity unit of Lloyd’s, is rumoured to have offered to purchase the company for £400m.
A spokesman for CPA Global declined to comment on market speculation but confirmed that the company is currently in discussion with a number of potential investors. Shareholders are, no doubt, thrilled with the strong interest from the investment market but the potential for growth in the legal outsourcing market spells trouble for law firms.
Earlier this year, Rio Tinto made the decision to engage the services of CPA Global and outsource its lower-end legal work to 12 low-cost lawyers in India. The deal resulted in significant cost savings for Rio Tinto and outsourcing low-end legal work enabled its in-house counsel to work on more complex and challenging legal matters which may otherwise have been sent to external legal counsel at significant cost.
CPA Global
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