Chat with Dirk Besse: M&A Guru Tracking the Tech-Powered Growth Landscape
By Sabine Wadewitz, Frankfurt
Transforming Germany's tech landscape with Silicon Valley-style innovation
Dirk Besse, the Managing Partner at Morrison Foerster's German office, has positioned the firm as a leading player in cross-border mergers and acquisitions. Looking ahead to 2025, he foresees a substantial increase in M&A activity, driven by technological innovation and strategic realignments.
Ten years ago, Morrison Foerster established its first German office, boasting 24 lawyers. Today, the Berlin-based unit employs over 114 individuals, including 51 lawyers and 16 partners at Potsdamer Platz.
Besse describes Morrison Foerster as a transactional law firm, well-equipped to execute the US firm's plans in Germany. The firm predominantly handles international businesses, possessing the capacity to manage multiple transactions simultaneously.
Bridge Builders
As "bridge builders," the team brings Silicon Valley to Germany. Presently, they are advising U.S. electric vehicle manufacturer Rivian in a joint venture with Volkswagen, marking a significant transaction showcasing the value of software innovations for the traditional German economy.
Besse emphasizes the team's commitment to excellence, attracting top talent in the German market. The German office maintains a manageable size, providing a personal, yet globally connected network for potential mandates in California and beyond.
Global Footprint: Japan and Beyond
With a strong presence in Japan, dating back 40 years, Morrison Foerster has earned the trust of top players in the country's electronics and software industry. The firm often guides these companies in cross-border transactions across Europe, China, and the US.
In 2022, a mandate involving German involvement from Japan was the takeover of SLM Solutions, a 3D printer manufacturer based in Lübeck, by camera manufacturer Nikon.
Litigation, IP, and Compliance
In addition to its transactional focus, Morrison Foerster has developed a robust litigation practice and a strong portfolio in IP and patents enforcement. Compliance plays an integral role in the firm's strategy, as evidenced by its advice to the supervisory board of Mercedes-Benz during the diesel scandal.
Record Growth, an Attractive Germany
With a recent revenue of 1.34 billion dollars and over 1,000 lawyers worldwide, Morrison Foerster experiences growth momentum that extends to its German operations. While Besse does not disclose specific numbers, he remains optimistic about Germany's continued attractiveness.
The Future of M&A Landscape
Besse anticipates a significant increase in M&A activity by 2025, driven by factors such as technology, innovation, and strategic realignments. He sees some companies aiming to position themselves behind tariff barriers announced by the new US President Donald Trump, but this will not trigger a wave of deals.
Instead, he expects companies to reassess their presence in the US, as global exchange is projected to remain strong and predominantly benefit from liberal trade conditions.
Tightened Investment Control
As countries strengthen investment control measures, cross-border transaction business becomes more complex. To address this, Morrison Foerster has dedicated four lawyers exclusive to sanctions and investment control subjects, primarily advising global players on transaction structuring.
An Inviting Landscape for Start-ups
Despite the challenges, Germany retains its potential as a startup haven. In the biotech sector, for instance, start-ups are increasingly choosing the American legal form to attract U.S. investment. According to Besse, Germany misses out on opportunities by overlooking exciting developments worldwide.
He stresses the importance of fostering a supportive environment for young companies, arguing that thousands of growth companies would lead to the emergence of lighthouse companies, reducing the attraction of the Magnificent 7 and their potential acquisitions.
Insight:As a firm, Morrison Foerster expects to see significant growth in the M&A sector, driven by technological innovations, cross-border transactions, and strategic restructuring. With a focus on international business, the firm expects to see increased M&A activity in sectors like technology, healthcare, and clean energy, and an overall continuation of robust deal-making through 2025. The regulatory environment may pose challenges, but they are not expected to hinder the overall M&A enthusiasm.
Considered instrumental in fostering innovation-driven M&A growth, Morrison Foerster's German office, led by Dirk Besse, forges ahead, demonstrating consistency, agility, and dedication to excellence.
- By 2025, Dirk Besse, Managing Partner at Morrison Foerster's German office, anticipates a considerable increase in M&A activity, largely propelled by technological innovations and strategic realignments.
- Morrison Foerster's Berlin-based unit, now employing over 114 individuals, including 51 lawyers and 16 partners, is well-equipped to handle multiple transactions simultaneously and bring Silicon Valley to Germany.
- In the tech-driven M&A landscape of the future, firms like Morrison Foerster, with a strong commitment to excellence and a sharp focus on innovation, are expected to play instrumental roles in cross-border deals.