Simmons & Simmons and Mayer Brown have called off merger talks, the two firms have confirmed in a joint press statement sent today (29 June).

The statement confirmed that the two firms have held preliminary talks about a potential merger but have jointly decided not to go through with a combination.

It read: "Simmons & Simmons and Mayer Brown have held preliminary discussions with regard to the potential for a merger. Mergers are complex and present a number of issues which need to be resolved before discussions can proceed. We have concluded that a combination between our firms is not the right option. There is, however, considerable goodwill and continuing respect on both sides."

The news comes after Simmons discussed the topic in a partnership meeting on Friday (25 June) after first informing partners the previous week that talks had been held through an emailed note (17 June).

While the firms have not stated why the talks were called off, Simmons partners were understood to have been initially attracted to the deal by the boost it would give to its China and Germany offerings. However, some partners had questioned how the two firms could combine their London presence which they found less complimentary.

Simmons partners had also questioned if they wanted to merge with a larger and more profitable firm.

Simmons has yet to announce its 2009-10 financial results but revenue and profits are understood to be down on the previous year's turnover figure of £291.3m and profits per equity partner (PEP) of £520,000.

Mayer Brown's 2009 financial results revealed that revenues at the firm had fallen by almost 14% over the year, with the firm's top line slipping to $1.12bn (£723m) from $1.29bn (£833m).

The Chicago-based firm's London office also posted a double-digit decline in revenues, with turnover falling by 16% to £93.8m from £111.6m in 2008, while PEP fell 4.5% in 2009 to $1.06m (£717,000).