Luxury Italian fashion brands such as Fendi, Gucci and Salvatore Ferragamo have been endorsed by the country's most cosmopolitan city – Shanghai – for many years. Italian law firms, however, are yet to make a significant impression on the city's legal market. Following the footsteps of Studio Legale Picozzi & Morigi and Chiomenti Studio Legale, which entered the market in 2006 and 2009 respectively, NCTM has recently become the third Italian firm to launch a representative office here.
Upon obtaining a licence from the Ministry of Justice, the Milan-based firm established its Shanghai office – its first outside of Europe – in August 2010. The office currently is comprised of nine lawyers and is co-headed by Vittorio Noseda, the firm's co-managing partner, and Shanghai-based salary partner Hermes Pazzaglini who recently joined from Allen & Overy. The firm has also formed an alliance with Shanghai's largest firm AllBright to strengthen its foothold in the new market.
"China is a very exciting and fast-growing market where we saw great potential to expand," said Noseda. "There was significant demand for our services from existing Chinese clients looking to invest in Italian companies, which provided a great opportunity. Our outlook is very optimistic for the future."
NCTM's China practice offers clients a full range of corporate services regarding Italian laws and regulations, and has a particular focus on M&A deals. It has received a large number of requests from industrial, production and trade clients, and has been hired by several Chinese multinational companies to advise on M&A transactions and investments in Italy.
"Traditionally, very few Italian firms have had a presence in China. However, it is important for us to have a physical presence in China in order to meet the growing need for Italian legal assistance to Chinese companies who have the capital and are looking to buy small Italian companies with excellent products and to invest in Italian projects," said Noseda.
NCTM's close rival Chiomenti, which has six partners and 40 lawyers in Beijing, Shanghai and Hong Kong, has also reported a noticeable growth in outbound investment by Chinese clients. "Chinese investment into Italy is a relatively new phenomenon, but it has increased significantly since 2007. Sectors including high-tech, industrial equipment, renewable and food and fashion have attracted [the] growing interest of Chinese investors," said Gianluca D'Agnolo, a partner of Chiomenti in Beijing. "From our perspective, the environment in Italy towards Chinese investment has become more friendly."
The growth potential in China has also caught the attention of Italian firms that are yet to establish a presence in China. In June this year, 15 leading Italian firms, including NCTM and Chiomenti, took part in an one-day workshop themed "Italylaw" in the Italy Pavilion of the 2010 Shanghai World Expo. The event aimed to showcase investment opportunities in Italy and highlight the key legal aspects for investing into the country. ALB
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