Daily Management Review

Former top manager of Deutsche Bank to become Commerzbank's new CEO


On Saturday, German Commerzbank announced appointment of Manfred Knof as CEO.

Now head of retail banking at another German bank, Deutsche Bank, Mr. Knof will take over this position from January 1, 2021.

The current director of Commerzbank Martin Zielke, as well as the chairman of the board of directors of the bank, Stefan Schmidtmann, resigned in July. This decision was made under pressure from the bank's investor, the Cerberus fund, who accused Commerzbank's management of poor financial performance and called for a change in the bank's development course. 

A new chairman of the board of directors was soon appointed: he was the former CEO of the German Landesbank Baden-Wuerttemberg Hans-Jörg Vetter. The search for a new CEO, however, took longer.

Mr. Knof is about to carry out a large-scale restructuring of Commerzbank. According to the German media, its goal is to significantly reduce the bank's costs, which could include the closure of about 800 Commerzbank branches and the layoff of 10 thousand employees. 

Deutsche Bank and Commerzbank negotiated a merger last year, but these negotiations ended in nothing. One of the main goals of the potential merger was to reduce the costs of both banks, including by reducing the branch network.

source: dw.de