Dealmaker: Michael McDonald
Michael McDonald is one of the leading M&A partners in Cleary Gottlieb's City arm
March 05, 2008 at 09:34 PM
5 minute read
Michael McDonald is one of the leading M&A partners in Cleary Gottlieb's City arm
Why did you become a lawyer?
Growing up in Canada, I was never going to be a golf professional or rock star and it seemed to be the practical course of action after studying philosophy at university.
Who has been the biggest influence on your career?
My maternal grandfather who taught me the importance of education, hard work, never taking yourself too seriously and, having survived the depression in rural Canada, keeping a sense of perspective. His portrait still hangs above my desk.
… and worst day on the job?
As a senior associate at my previous firm (a year before making partner), being asked by a junior partner to hand-deliver documents to the other side. I was never going to treat my associates like that.
Aside from those at your own firm, which lawyer do you most admire and why?
Alan Paul. One of the top five M&A lawyers in the City, and not an arrogant bone in his body.
Who is the funniest partner at Cleary?
Jim Duncan by a long shot.
What's the best part of your job?
I am a deal junkie by nature. It would have to be working on a large transaction for a demanding client with a talented, enthusiastic group of colleagues. I also love the variety of my practice at Cleary: public M&A, private M&A, private equity, technology, media and telecoms, financial institutions, international, emerging markets. I would have had to sit in five different groups to do that at my previous firm.
What advice would you give to young deal lawyers starting out?
Take ownership of your career; stay a generalist M&A lawyer for as long as possible; the client always comes first; be yourself; and never take yourself too seriously.
What is the most memorable deal you have ever worked on and why?
The first deal I was asked to lead as a second-year associate, going up against a partner on the other side. The relationship partner had the confidence in me, sought the buy-in from the client and let me get on with it, but I knew he was always there for me for sage advice. Sadly, it is not the sort of thing that happens in the large UK firms these days.
What will be the most significant market trend in terms of your practice area over the next 12 months?
M&A will be down in Europe, but certain sectors like energy, metals and mining and financial services will continue to be hot. Emerging markets is where most of the action will be. Lots of creative thinking on vendor financing.
What most annoys you about the legal profession?
In no particular order: pedantic lawyers who do their clients a disservice; any argument based solely on 'market practice'; the passion of partners at the large UK firms for management; the waste of talent caused by forced retirements at a young age; and the general unwillingness of the profession to adopt best practice from other disciplines, particularly in the area of professional development.
What's the worst corporate event you've ever attended?
Probably going shooting with clients. Not my cup of tea.
What is the daftest bit of corporate jargon you've heard (and did you smirk)?
I have an aversion to junior investment banker-speak: "Michael, why don't you take this off-line; reach out to Simon, see if you can get some face time with him; and if you finesse this you should be able to get some visibility on the ETA of the SPA, VDD and TSA."
How much of a culture shock was it to move from Allen & Overy's City HQ to Cleary's far smaller London arm?
I had to get used to a non-hierarchical, unmanaged, partnership culture. It took about 45 minutes.
Cleary is notoriously shy of lateral partner hires; how rigorous was that interview process?
Over 12 months, I travelled to meet almost every partner worldwide. By the end of the process, I had spent at least an hour with about 85% of the partners and had completely bought into the firm's values. It in part explains why Cleary partners do not leave to join a competitor.
Why should young lawyers join your firm?
They will be treated like adults; they will develop into very versatile lawyers having worked as a generalist in their first three-to-four years in finance, capital markets and M&A; their practice will be far more international than any other firm; and they will do all of this in the most collegiate of atmospheres.
What's your favourite item of clothing?
A suede leather jacket and cowboy boots.
What's your favourite cheese?
Epoisse.
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