Offshore firm Harneys has gained a presence in Cyprus after merging the office of its Cypriot ‘best friend’ firm Aristodemou Liozides Yiolitis (ALY) into its network.

The firm entered into the ‘best friends’ agreement with ALY in 2008 and now, having formalised the merger, has gained its fifth international office. Harneys plans to transfer a BVI lawyer to Cyprus while ALY will transfer a lawyer to Harneys London.

The firms hope to target Russian and Indian offshore businesses through the BVI, utilising the favourable tax treaties Cyprus has formed with emerging economies. It follows Conyers Dill & Pearman’s forming an alliance last December with Cypriot firm Antis Triantafyllides and Son.

Harneys partner Peter Tarn said: “Cyprus is a preferred jurisdiction for Russia investment, and the addition of Cyprus was a natural step for us. Ultimately we see Cyprus as part of our broader emerging markets strategy because we believe Cyprus will be relevant to a great many of our clients, including those in the Far East, India and Europe.”

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