On Strategic Vision: Thomson Reuters Acquires Indian Legal Process Outsourcing Firm, Pangea3; Wants to Sell BAR/BRI

Following on the heels of its recent layoff announcement, Thomson Reuters reported last evening that it is acquiring Pangea3, one of the largest legal outsourcing firms in India. Pangea3's annual revenue is estimated in excess of $25 million. The Business Standard of India values the deal at between $35 million and $40 million. From the Thomson Reuters press release:

The acquisition extends the Thomson Reuters strategy to develop world-class information, software and workflow solutions for legal professionals around the world. Pangea3 is headquartered in New York and Mumbai, India, and has 650 employees at its major delivery centers in Mumbai and New Delhi. Pangea3's client base includes Am Law 250 law firms and some of the world's largest financial services, pharmaceutical, healthcare, food and beverage, technology and consumer goods companies. The firm offers a variety of services organized into four distinct lines of business including legal document review; corporate transactions; intellectual property; and risk management and compliance.

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"The addition of Pangea3 to the Thomson Reuters family creates a solid foundation in the global solutions suite that is a perfect fit in our long-term growth strategy," said Tony Abena, president and general manager, Global Legal Solutions. "With overlays in key  segments including our Corporate General Counsel, IP Solutions, Governance, Risk and Compliance and Law Firm businesses, we're aligning ourselves more closely into general counsel and law firm workflows. Pangea3 brings to Thomson Reuters a broad and rapidly growing client base, and a reputation that is unmatched in the LPO marketplace. I'm very pleased to welcome the Pangea3 team to Thomson Reuters."

In November 2008, the Wall Street Journal featured Pangea3 at With Times Tight, Even Lawyers Get Outsourced.

BAR/BRI For Sale, No Longer Fits TR's Strategic Vision. ATL is reporting that one member of the "Thomson Reuters family" is about to be "disowned." TR has informed BAR/BRI employees that the Company intends to sell BAR/BRI. Current BAR/BRI students received an email on Nov. 18th:

Yesterday, BARBRI’s parent company announced that it is exploring the possible sale of the BARBRI business. ... Our parent company believes ... that bar preparation no longer fits its long-term strategic vision, which is to provide intelligent information and workflow solutions to professionals.

(Emphasis added.)

About these developments, ATL's Elie Mystal writes "people concerned with the long term future need for young American lawyers can’t be thrilled about this. Throwing your lot in with Pangea3, instead of bar exam behemoth that is BAR/BRI, really says a lot about where you think the future is heading." [JH]