IP firm lists on ASX

Qantm, a consortium of IP law firms, listed on the stock market this week, the third law firm to list in Australia.

A consortium of IP law firms Davies Collison Cave and Freehills Patent Attorneys, a spin-off of Herbert Smith Freehills listed on the ASX on Wednesday.

On its first day of trade, stocks rose as much as 13.5% in afternoon deals, The Australian reported.
The IPO is an exciting milestone and will provide both DCC and FPA with increased financial flexibility to pursue selective and complementary acquisitions and to retain and attract high-quality people,” chief executive Leon Allen said.

The company floated under the banner of Qantm Intellectual Property, with a market cap of $331m, at $2.22, representing 16.5 times earnings per share, according to a report by the Australian Financial Review.

Allen distanced the company from listed law firm Slater & Gordon this week, calling Qantum a predictable business rather than an event driven one.

“We are not a law firm. We're very much a pipeline business and we're a predictable business,” Allen said.

“In contrast, legal practices are event driven – something has to happen before you need a lawyer.”
He told the AFR that intellectual property practices have a steady flow of work.

“We're a great cash conversion business, with small invoices going out all the time. Even when we run litigation matters, we issue monthly invoices and I don't leave the office unless all the matters are charged out each month,” he said.

The prospectus says Qantm will poach and keep lawyers by giving them equity stakes.  Allen said the company will look for acquisition opportunities in Australia, but said he has ruled out acquiring firms in other practice areas.
 

Recent articles & video

Lander & Rogers launches workplace law elective at QUT

CE Family Law's Louise Hunter had an Erin Brockovich for a grandma

WFW picks up win at 2024 Australian ADR Awards

Three additions enhance G+T's partnership

American Bar Association releases guidance to prevent conflict with unretained clients

UK bar survey reveals one in five pupils face bullying and discrimination

Most Read Articles

Hamilton Locke partner transitions to Lander & Rogers

Global law firm Kirkland & Ellis advises on multi-billion-dollar merger in the natural gas sector

Two Australian lawyers ascend to partner in major HFW promotions round

ALRC releases anti-discrimination, religious educational institution law recommendations