Deutsche Boerse appoints Kengeter as new CEO

[FRANKFURT] Deutsche Boerse has named investment banker and former UBS executive Carsten Kengeter as its new CEO from next June, replacing Reto Francioni after nearly a decade at the helm.

The exchange operator began looking for a replacement for 59-year-old Francioni last year, though his contract is not due to expire until Oct 2016. Mr Francioni has set Deutsche Boerse on course to expand in Asia to secure future growth.

Kengeter, 47, worked at UBS from late 2008 to 2013, starting as head of fixed income, currencies and commodities and later serving as chairman and chief executive of its investment bank.

He previously worked for Goldman Sachs, acting as co-head of Asian trading business at the bank from 2005-08. Since leaving UBS in mid-2013, he has been a visiting professor at the London School of Economics. "His knowledge of the capital markets of Asia, Europe and America and their various regulatory bodies, his experience with new financial technology along with his leadership experiences make him an exceptionally suitable CEO for Deutsche Boerse," the company said in a statement.

Mr Francioni, who turns 60 in August, said that Deutsche Boerse's annual shareholder meeting next May is a good moment to pass the baton. The Swiss national has been on the company's board for 17 years, including nearly a decade as CEO.

"Significant strategic decisions have been made, the strategic initiatives, especially in regard to the totally new and extremely tough competition of the recent years, are showing effect," Mr Francioni said in the statement.

Deutsche Boerse's deputy CEO Andreas Preuss will extend his mandate until May 31, 2018, the company said.

REUTERS