London team completes new firm's first corporate deal since merger

Hogan Lovells' London team has completed its first corporate deal since the transatlantic merger went live at the beginning of May.

The newly-formed firm has advised Onexim Sports and Entertainment on its acquisition of a majority stake in US basketball team the New Jersey Nets.

The deal, which is valued at $200m (£138m), will see Russian investment fund Onexim develop and build a new stadium in Brooklyn, New York in conjunction with urban real estate developer Forest City Ratner Companies.

Onexim president Mikhail Prokhorov will become the first foreign owner of a National Basketball Association (NBA) team. The acquisition includes an 80% stake in the Nets and a 45% holding in the 22-acre 'arena site' Barclays Center in Brooklyn, which will house the new stadium.

The Hogan Lovells team was headed up by London-based partners Todd Schafer and Chris Melville, alongside New York partners Mitch Lubart and Maureen Hanlon.

Simpson Thacher & Bartlett advised the seller on the deal, with New York corporate partner Eric Swedenburg taking the key role.

Schafer told Legal Week: "This was an exciting and high-profile deal owing to the nature of the assets, their unique location and the individuals involved. The outcome is an excellent result for our client and, I believe, for the NBA and Nets fans."

The deal was originated on the legacy Hogan & Hartson side as the US firm has close ties with Onexim and Prokhorov. Last year, both Schafer and Melville advised Onexim as it increased its stake in Russian steel giant Rusal.

The deal raised Onexim's stake in Rusal by 4.5% to 18.5% in exchange for $2bn (£1.4bn) of debt owed to the latter company.