No stranger to turmoil, Dutch dealmaker Wynaendts set for Deutsche chair
As head of Dutch insurer Aegon, Alexander Wynaendts led a complex European financial institution with staff around the world and a large U.S. presence during a turbulent decade, experience that should serve him well as the next chair of Germany's Deutsche Bank (DBKGn.DE).
On Friday, a committee of Deutsche
Bank's supervisory board nominated Wynaendts to oversee Germany's largest
lender from next year. The full board backed him at a meeting on Sunday, and
shareholders will vote on his appointment in May. read more
If elected, the position will
catapult Wynaendts, who is relatively unknown in Germany, into a role as one of
the country's top bankers at a time when Deutsche is also steadying itself
after a rocky decade with a view to a possible future merger.
Deutsche Bank Chief Executive
Officer, in a note to staff on Sunday dislosing the full board's support for
Wynaendts, called the Dutchman a true European and expert in international
finance.
"Alex has experience in the
fields that always made Deutsche Bank stand out: strong expertise in retail,
corporate and capital markets business as well as in asset management and a
global network," Sewing said in the memo, which was seen by Reuters.
Just months into his tenure at Aegon
(AEGN.AS), a company that in the mid-19th century helped the Dutch pay for
funerals, Wynaendts, 61, navigated a 3 billion euro ($3.39 billion) state
bailout and restructuring as the 2008 financial crisis took its toll.
Deutsche has lost billions of euros
and faced huge fines, leaving regulators fearing it was on the brink of
collapse five years ago. Although it has started reaping small profits under
new leadership, there remains plenty of unfinished business.
The bank is currently working on a
new strategy plan to be presented in March and has yet to make good on a
promise to shed 18,000 jobs, while analysts say it is at risk of missing a key
profitability target next year.
A major question for the wider
industry is the consolidation of Europe's fragmented banks. Deutsche executives
says they are working to make the lender strong for a potential future tie-up
after it called off talks to merge with rival Commerzbank (CBKG.DE) in 2019.
Wynaendts - who oversaw a steady stream
of acquisitions, disposals and partnerships from Canada to Mexico and Romania
to China during a decade as the head of Aegon - is expected to embrace the
strategy.
Aegon was involved in 87 M&A
deals from 2012 through 2020, based on Refinitiv data.
He will also be well aware of the
challenges of low interest rates and volatile markets, which hit Aegon's
capital position near the end of his time at the company. Aegon's shares fell
sharply during his tenure due to the financial crisis and the pandemic.
(Reuters Graphics)
Wynaendts would take over from
Austrian Paul Achleitner, another former insurance executive who previously
worked at Allianz (ALVG.DE), when he steps down in May. Achleitner is credited
with installing current CEO Christian Sewing to help turn the bank around after
a number of management reshuffles during his decade at the helm.
Separately, Deutsche announced on
Sunday that it had filled the role of chief risk officer, poaching Olivier
Vigneron from France's Natixis. read more
($1 = 0.8859 euros)
Source: Reuters