Big deals help Indian law firms enter the global league

The Indian law firms are now matching up to the standards of their global counterparts, thanks to a robust Indian economy that is generating the largest number of project finance and public private partnership deals worth $ 31.9 billion which happened in the first half of 2009, according to a global survey by Dealogic, an agency which compiles such data.
 
Indian firms closed 36 project finance deals valued at $31.9 billion, an increase of 158% over the same period last year. Top Indian law firms, such as Luthra & Luthra and Amarchand and Mangaldas along with Mumbai-based mid-sized law firms, such as DSK Legal, Indian Law Services (ILS) and MV Kini & Co, exploited the boom in Indian projects finance and public-private partnership (P3) deals, leaving behind global giants, such as Clifford Chance, Allen & Overy, DLA Piper, White & Case and Latham & Watkins.
 
“It is a big achievement as Indian law firms have gone ahead in spite of all our inherent disadvantages while competing against global giants. In addition, it is also about being at the right place at the right time as the Indian economy is very well placed vis-a-vis the first world nations,” said Rajiv Luthra, managing partner, Luthra & Luthra. On the global private finance initiative (PFI) and public-private partnership (PPP) deals, Luthra closed three deals equalling close to $6.3 billion, making its market share just over 10%. Amarchand advised on five deals worth $5.8 billion, DSK Legal followed in second place with a market share of 6.7%. ILS acted on 14 deals worth just over $6 billion, according to Dealogic, meaning its market share is an even 6%. This means that Indian law firms enjoy a 28.2% market share of all PFI/PPP deals and an 18.1% share of global project finance deals as market leaders.
 
The three major deals that Luthra & Luthra was involved were the $3.8-billion Sasan Ultra Mega Power Project (for lender), the $2.6-billion Dahej Ethylene Cracker Plant (for consortium) and the $1.8-billion Mundra Thermal Power Project Phase 4 (for the lender). Where as, ILS advised $3.3-billion Vodafone Essar seven circles GSM network rollout (for lender), the $1.3-billion Gondia Coal-Fired Thermal Power Project Phase 1(for lender), the $886-million NH1 (Panipat-Jalandhar Section) Six Laning Highway PPP (for lender).
 
“Last year, no Indian law firms even made it to the top 10 in the Dealogic survey, this year is a double-whammy for the Indian business league and the economy that is shining even as the world is reeling under the recession,” said Ravi Kini, managing partner, MV Kini & Co. This shows that Indian law firms are second to none when it comes to competence, skill and use of technology. “This is the beginning of export of legal services on the advisory and due diligence on deals, as it would be an advantage for foreign companies to outsource services from India at a competitive price,” said Anand Desai, managing partner of DSK Legal.