Deutsche Bank Strengthens Board as Virus Jeopardizes Turnaround
Deutsche Bank Nominates Deutsche Boerse CEO to Supervisory Board
(Bloomberg) -- Deutsche Bank AG nominated Theodor Weimer to its board of directors, a move that positions the head of the German stock exchange as a potential successor to Chairman Paul Achleitner.
Weimer, 60, is seen as a contender to eventually take over as chairman, according to person familiar with the matter. Achleitner, who has drawn the ire of shareholders because of the long decline in the lender’s share price, intends to see out the remaining two years of his term, the person said, asking not to be identified as the matter is private.
Another potential candidate for the role is Norbert Winkeljohann, a board member who is scheduled to become chairman of Bayer AG this year, said the person familiar with the matter.
Achleitner has long been under fire from shareholders for overseeing a series of unsuccessful turnaround efforts since taking over in 2012. The bank’s most recent restructuring, announced last year, is now being jeopardized because of the turmoil caused by the coronavirus. Deutsche Bank on Friday said the pandemic may cause it to miss its financial targets.
“While it is too early for us to predict the impacts on our business or our financial targets that the expanding pandemic, and the governmental responses to it, may have, we may be materially adversely affected by a protracted downturn in local, regional or global economic conditions,” Deutsche Bank said in its annual report.
Shares of the lender rose 5.5% at 9:50 a.m. in Frankfurt as global stocks rallied following the unprecedented rush of measures to shield jobs and economies from the pandemic. They’re still down more than 40% from their peak in February, when they enjoyed a brief rally amid early signs that the new strategy was paying off.
Weimer’s appointment will need to get approval from the lender’s annual general meeting. He’s set to replace Katherine Garrett-Cox, who’s resigning.
“In Theodor Weimer, who will join the supervisory board for the first time, we will gain an expert with deep knowledge of the German and European financial industry as well as an outstanding banker,” Achleitner said in a statement announcing the appointment.
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