Brazil's legal sector is booming. The country’s new investment grade will help boost foreign law firms' business further.
BY JOACHIM BAMRUD
The recent decision by rating agencies Standard & Poor’s and Fitch to revise their credit rating of Brazil to investment grade is expected to provide a significant boom to the South American countrys economy. Among the winners is the legal sector.
"Investment grade ratings will help our practice by making borrowing costs less expensive for Brazilian issuers and by expanding the investor base for Brazilian securities," says Antonio Piccirillo, who heads up the one-year old Sao Paulo office of U.S.-based Proskauer Rose.
Jonathan Bisgaier, a partner at U.S.-based law firm Skadden Arps who moves to Brazil this week to head the firms new office there, says investment grade will "absolutely" help its business.
"You can see the positive reaction [on] Bovespa [the Sao Paulo stock exchange] on the announcements of investment grade," adds Anthony Oldfield, a partner at UK-based Clifford Chance who is moving to Sao Paulo next month to run the firms 10-year old office there. "The markets are certainly getting more international attention. We think this will serve to drive the market."
Richard Aldrich, co-head of the Sao Paulo office of U.S.-based Shearman & Sterling agrees. "Obviously, Brazils investment grade rating will be a...
See also Brazil Law Q&A.
Keywords: Bovespa, BM&F, Citi, Goldman Sachs, Morgan Stanley, IPOs, Vale, Xstrata