Absa Group has appointed Arrie Rautenbach, currently chief executive of the bank’s retail business, as CEO, effectively immediately, the first internally appointed CEO since 2006.
He fills a vacancy that had been left open since the unexpected departure of previous CEO Daniel Mminele 11 months ago. The appointment also precedes by days the handing over of the board chairmanship, from April 1, to Sello Moloko, by Wendy Lucas-Bull.
Interim CEO Jason Quinn will resume his position as group financial director. Absa said yesterday that the CEO appointment had followed a thorough recruitment and selection process completed by its board.
Rautenbach has more than 25 years’ banking experience, which includes serving as the group’s chief risk officer, simultaneously also providing executive leadership for the Group Separation Programme and Group Strategy Office.
The board said his extensive experience in banking, his in-depth knowledge of Absa through several executive roles, and his strengths in strategy development and execution positioned him ideally to lead the group.
His previous Absa roles include chief executive of Retail Banking, managing executive of Absa Card Division and managing executive of distribution. He began his career with Absa Group at Bankfin in the late 1990s.
From a global perspective, he previously served on the Barclaycard and Retail and Business Banking and Risk executive committees..
Lucas-Bull said in a statement she was confident that Rautenbach’s leadership would provide the continuity and stability necessary to consolidate their purpose and strategy.
“I know that the group is in good hands under Arrie’s executive leadership as I hand over the reins of the board chairmanship to Sello, who takes over on April 1. I am pleased to be handing over the chairmanship to Sello, with the group in very good shape, having delivered record results for 2021 and with strong capital and liquidity ratios,” she said.
Moloko said Arrie’s appointment would anchor their performance and growth.
“Arrie is aligned with the board on our organisational imperatives, including talent management and transformation. The board looks forward to working with Arrie and the executive to ensure a Pan-African financial services group that creates sustainable value for all its stakeholders.”
Rautenbach said he looked forward to working with the board and the executive in “consolidating strategy and performance, driving organisational and cultural transformation, and delivering financial and social value for all our stakeholders, and sustainable future growth and returns for Absa and its shareholders”.
Punki Modise in turn would step down as interim financial director of Absa Group and Absa Bank and as an executive director of the boards, with immediate effect.
She would take the position of interim chief executive: RBB, and remained on the bank’s Group executive committee.
Rautenbach has contributed to the banking industry through his board executive membership of the Banking Association of South Africa (Basa), board memberships of Woolworths Financial Services and other related industry bodies, locally and internationally, in addition to serving as the current chairperson of Ford Financial Services.
Absa Group’s share price inched up 0.96 percent to R193.85 yesterday afternoon, but the price was more than 46 percent higher than a year ago.
BUSINESS REPORT ONLINE