Ending weeks of speculation, Deutsche announced it has a new CEO.
The joint head of the private and commercial banking arm of Deutsche Bank, Christian Sewing, becomes the chief executive of the lender, replacing John Cryan. Cryan leaves the bank at the end of April, with the news ending weeks of speculation about his future amid concerns about the bank's profitability and sagging share price.
Sewing, a lifelong Deutsche Bank employee, was co-deputy CEO along with investment banking co-head Marcus Schenck. Sewing jointly led the private and commercial bank with Frank Strauss. Sewing was head of group audit from June 2013 to February 2015, prior to which he held a number of management positions in the risk segment. Since joining in 1989 Sewing has worked for Deutsche Bank in Frankfurt, Hamburg, London, Singapore, Tokyo and Toronto.
Additionally, Deutsche's supervisory board appointed management board members Garth Ritchie and Karl von Rohr as new presidents of the bank. The firm's corporate and investment bank will be led by Ritchie who was previously co-head of the division with Schenck. The private and commercial bank will be led by Frank Strauß who was previously its co-bead along with Sewing.
Speculation has been building for some time about Cryan's future and on who might succeed him if he goes. (See an article here.)
Announcing the new CEO and Cryan's departure, Paul Achleitner, chairman of the supervisory board, said: “Despite his relatively short tenure as CEO, John Cryan has played a critical role in the almost 150 year history of Deutsche Bank – and laid the groundwork for a successful future of the bank. The Supervisory Board in general and I personally are grateful for this. However, following a comprehensive analysis we came to the conclusion that we need a new execution dynamic in the leadership of our bank.”
Marcus Schenck, the bank's investment banking co-head, is leaving the bank, Deutsche said in its statement last yesterday. Achlteitner said Deutsche regarded his decision to leave with "very much regret".