Orrick Herrington & Sutcliffe stayed on top of bond counsel rankings as all but one of the top 15 firms posted an increase in par amount of deals handled in the first quarter.
Orrick worked on 73 transactions totaling a par amount of $11.24 billion, or 11% of the market, according to data from Thomson Reuters. Orrick improved on its first-place ranking a year earlier, when the firm worked on 51 deals totaling a par amount of $4.28 billion, or 7.1% of the market.
As a group, the top 15 handled $102.383 billion of par value in 3,037 deals in the first quarter, up from $60.097 billion in 1,947 issues a year earlier. That 70% increase in par amount outpaced the 59% growth in muni issuance in the quarter.
"As deals are becoming more complex, and with volume up from refundings, this is leading to more work for bond counsels," said Bill Rhodes, partner and chair of the public finance department at Ballard Spahr LLP. "The bigger firms may have more horsepower to handle more work than a smaller firm, and can also pursue more work."
Ballard jumped to No. 5 in the ranking, from 12th in the first quarter of 2014.
"We are always happy to maintain our market position," said Roger Davis, Orrick's chair of its public finance department. "The market is currently driven by refundings, but that will start to taper off. I am not confident the level of activity will sustain throughout the year."
Davis also said that there is no magic bullet that helps the firm remain at that top. "Serving our clients the best way we can while providing high quality services, we are always looking ahead at what is coming and we want to stay ahead of the curve so we and our clients can be prepared," he said.
Hawkins Delafield & Wood LLP was second, with 100 deals totaling $5.39 billion, or 5.3% of market share. Hawkins, which ranked second for all of 2014, improved on a fourth-place ranking a year earlier, when it handled 53 deals with par amount of $2.58 billion, or 4.3% of the market.
Norton Rose Fullbright jumped up to the third spot after finishing at No. 11 for the first quarter of 2014. The firm finished the quarter with 101 deals and a par amount of $4.59 billion or 4.5% of the market, up from 71 deals with an amount of $1.47 billion or 2.4% in the same period the year before.
McCall Parkhurst & Horton LLP moved to sixth from fourth year over year with 114 deals for $4.31 billion and 4.2% of the market. In the first quarter of 2104, McCall Parkhurst handled 70 deals for $2.3 billion or 3.9%.
Ballard Spahr leap frogged seven places with 39 deals for $4.30 billion or 4.2%, compared with 14 deals for $1.26 billion or 2.1% a year earlier.
"Our department as a whole covers the full public finance work - as you see upticks in some sectors some firms may not participate in some sectors and we cover all of the areas," said Rhodes. "We have sharpened our focus in newer areas like high-yield muni securities. We have never walked away from any sector in the muni market during the recession."
Foster Pepper PLLC vaulted to the 7 spot with 21 deals for $2.48 billion or 2.4% after finishing 16th in the same period last year with 15 deals for $884 million or 1.5%.
Sidley Austin LLP was one of the few firms to regress year over year as it finished with eight deals for $2.43 billion or 2.4%, which is down from 13 deals for $2.57 billion or 4.3% in the beginning of 2014.
Chapman and Cutler LLP also decreased in par amount and market share year over year, slipping to $2.24 billion or 2.2% from $2.28 billion or 3.8%. However, the firm was involved in 10 more deals than in the same period from last year, as they finished the quarter with 120 - more than any other firm in the top 15.
Rounding out the top 15 are Locke Ford Edwards LLP, Greenberg Traurig LLP, Andrews Kurth LLP, Stradling Yocca Carlson & Rauth, Squire Patton Boggs and Dinsmore & Shohl LLP.
Davis said that when the rates eventually rise, he doesn't believe it will be a steep increase and it shouldn't affect the market that much as most players are prepared for it.
"However, at some point the refunding opportunities will be used up more than they are today, and when you raise the rates, no one will be refunding and that will definitely affect the market," Davis said. "It almost been seven years since rates have been falling, we have a whole generation that has not seen a rising rates environment and that will be very interesting."
