Robin AI Acquisition by Scissero

In a surprising turn of events, legal technology start-up Robin AI, once celebrated as a beacon of innovation in the legal sector, is reportedly on the verge of selling the majority of its operations to the rival firm Scissero. The details of this deal, which will see Robin AI’s works and managed services division transition to Scissero, were uncovered by Sky News. This development follows a series of unfortunate setbacks for Robin AI, including significant layoffs that occurred after the company struggled to secure a new funding round.

The acquisition is expected to be publicly announced on Wednesday, and it comes at a time when Robin AI is undergoing substantial restructuring. Once hailed by former Prime Minister Rishi Sunak as a company transforming the legal profession by enabling rapid contract creation—thereby saving time and resources for businesses—Robin AI had garnered substantial financial backing from notable investors, including SoftBank and Episode1, a prominent venture capital firm in London.

Combining forces with Scissero is positioned to enhance Scissero’s client portfolio significantly, expanding their reach to over 100 corporate clients and enabling a more aggressive competitive stance against other legal AI offerings, such as those provided by US company Harvey and Sweden’s Legora. This merger not only signifies a strategic growth opportunity for Scissero but also indicates an increasingly competitive landscape for legal technology within the UK.

Robin AI’s clientele includes major organizations such as Pfizer, PepsiCo, and General Electric, which speaks volumes about its previous standing in the market. Following the merger, the newly formed company will operate with a workforce of around 150 employees; however, it is noteworthy that Scissero is not acquiring Robin AI’s technology platform, which raises questions about the future of Robin AI’s technological innovations.

Mathias Strasser, the chief executive of Scissero, expressed optimism regarding the acquisition, noting, “The AI-enabled legal services market is entering a period of meaningful consolidation, and the UK is exceptionally well-placed to lead the next wave of innovation in AI and legal technology.” This statement underscores the anticipated growth and maturation of the legal AI sector in the coming years.

Meanwhile, Richard Robinson, Robin AI’s chief executive, highlighted the potential benefits for their clients by stating, “Becoming part of Scissero marks an exciting new chapter for our managed services team and our clients. Scissero’s global capabilities and regulated legal services will allow our clients to access a broader set of solutions while maintaining the high-quality service they have come to expect.” His remarks indicate a sense of hope and continued commitment to delivering quality services amid corporate restructuring.