Dentons' continental European arm is set to launch an Iran offering in association with local firm, Arman Pirouzan Parvine Legal Institute (APP).

APP is made up of 10 lawyers and is led by Iran- and US-qualified partner, Navid Rahbar-Sato. The Tehran-based team will advise Dentons' international clients on a broad range of legal issues including corporate, infrastructure, regulatory, capital markets, employment and litigation matters.

The planned launch by the legacy Salans business comes after CMS became the first international firm to open in Iran earlier this year, after sanctions in the country were lifted. Timing for Dentons' launch is still to be confirmed.

In a statement, Dentons said it had formed the association in response to increasing client demand for sanctions and investment advice relating to Iran, from the hospitality, automotive, retail and energy sectors.

Tomasz Dąbrowski, chief executive of Dentons Europe, said: "Following the change in international sanctions involving Iran, many of our clients are either already present in Iran or exploring commercial opportunities there. We are committed to supporting our clients wherever they do business."

Pirouzan Parvine, head of Dentons Europe's Iran practice, added: "While our Iran team has been serving clients successfully ever since sanctions were changed, we now want to build momentum by establishing a closer relationship with a firm in Tehran."

Only Dentons' European business is entering into the association, due to US and Canadian restrictions.

Earlier this month, the firm's continental European partners were asked to inject between €6m (£5.05m) and €7m (£5.89m) of additional capital into the business during the next two years.

The move, which follows a partner vote in favour of raising capital contributions last month, does not include the UK partnership or any other part of the verein-structured firm.

It will see European partners asked to pay in up to an extra €100,000 each across a two-year period between 2017 and 2018.