Howard Kennedy FSI has withdrawn from merger talks with Davenport Lyons giving no clear explanation. It is the second firm which Davenport Lyons had been talking to – it earlier was in discussions with Shakespeares. Davenport Lyons has seen a 20 percent drop in profit per equity partner since 2011. The firm also made the decision to close its film and TV divisons and cut down its trainee cohort last November.Howard Kenndy FSI  is also in talks with a smaller firm CKFT which are still ongoing.