City firm Norton Rose is to merge with Australian firm Deacons to create the 1800-lawyer Norton Rose Group, the firms announced today.

Once the merger comes into force on 1 January 2010, the new firm will have an estimated combined turnover of £420m, with 29 offices worldwide. It will be led by Norton Rose chief executive Peter Martyr, who will become group chief executive of Norton Rose Group, and Deacons chief executive partner Don Boyd, who will become group deputy chief executive. Norton Rose chairman Stephen Parish will be chairman of Norton Rose Group.

The merger will combine 700 fee-earners in the Asia Pacific region, the firms said.

Martyr said: ‘The economic influence in the world is moving eastwards and in order to develop our business we needed a significant expansion of our resources in Asia Pacific. The increased capability of the group throughout Asia Pacific will lay the foundations for further regional development and expansion.’

Boyd said: ‘As soon as the initial discussions were underway, it became clear that there was a common global ambition, particularly in the predicted growth markets of the future, namely Asia Pacific. We have shared aspirations regarding strategic growth, both in practice area and geographic terms. The business case is compelling and the synergy of working together is convincing.’