Bigger Apple
John D. Kimball, partner at Blank Rome, was recently quoted in the Lloyd's List article "Bigger Apple," which was published online on December 7, 2012 at www.lloydslist.com.
Full article below:
Norton Rose’s New York merger with Fulbright & Jaworski highlights the evolving nature of shipping finance and indicates the Big Apple’s growing importance in this area.
As Harry Theochari notes, traditional routes for shipowners to borrow money have all but dried up and this has forced them to discover more inventive ways of generating capital. New York is a different beast to London, offering a broad mix of investment sources for ingenious players.
Mr. Theochari is not alone in thinking that shipping finance is now reliant on the capital markets. As he says: “Where are the biggest in the world? New York. It is here where the major private equity funds are based.”
Established firms in the city agree with Norton Rose that this is the place to be for ship finance with a twist.
Blank Rome partner John Kimball told Lloyd’s List there was a lot of activity in the New York market.
He said that with hedge funds and equity firms playing an increasingly large role, New York has a mix of investment sources broadened beyond the traditional banks which are extensive and unmatched in the world.
Will other shipping law firms follow suit? Do they have the capacity to do so? What other potential mergers are possible? There are many questions to answer.
But the adage “Follow the money” cuts to the heart of shipping. If clients want the best sources of finance, shipping law firms may be forced to take a bite of the Big Apple to remain competitive.