By Ambereen Choudhury and Myriam Balezou
Credit Suisse Group is looking for a new chief executive officer to run its U.S. holding company as the Swiss bank seeks to build out its business in the country following a series of setbacks.
The lender is looking at internal and external candidates and has hired a recruitment firm to help find candidates, people familiar with the matter said, asking not to be identified discussing internal matters. The position was held by Eric Varvel until he announced his departure in December.
A spokesperson for Credit Suisse declined to comment on the executive search.
Switzerland’s second-largest bank has shaken up its top ranks and is working to restore its reputation after the twin hits from Archegos Capital Management and Greensill Capital last year. The U.S. role would likely also involve dealing with a slew of headaches the lender is facing in the country, from its role in the Archegos disaster, which left it with some $5.5 billion in losses, to questions from lawmakers how it complies with sanctions on Russia.
Varvel, who used to oversee Credit Suisse’s asset management arm in addition to his role as head of the U.S. legal entity, had been a proponent of the supply chain finance funds Credit Suisse ran with Greensill. The funds were frozen in March of last year, shortly before Archegos collapsed.
Ulrich Koerner has since taken over responsibility for asset management and investment bank chief Christian Meissner was named head of the Americas region.
Credit Suisse said this month that investors in the Greensill-linked funds should brace for a five-year fight with insurers and problem borrowers as they wait to get their money back.
