19th Jul 2019 07:58
(Alliance News) - Royal Bank of Scotland Group PLC on Friday announced outgoing Chief Executive Ross McEwan will be joining National Australia Bank Ltd when his notice is finished.
McEwan gave his 12-month notice to RBS in April and RBS has today reiterated he will remain in his position until a successor has been appointed and a handover has taken place.
NAB expects McEwan to start "no later" than April 2020.
RBS Chair Howard Davies said the search for McEwan's successor is "ongoing".
NAB Chair-elect Philip Chronican said: "Ross McEwan is the ideal leader for NAB as we seek to transform our operations and culture firmly around leading customer service, experience and products."
Chronican added NAB now faces "many of the same challenges" RBS faced when McEwan first took over.
New Zealander McEwan became CEO of RBS in October 2013, having previously been head of the company's UK Retail unit. Before that, he led Commonwealth Bank of Australia's retail banking business.
Under McEwan's stewardship RBS paid its first dividend in a decade. He led the bank to two consecutive years of profit after nine consecutive years of losses as the bank struggled to get out from legacy costs associated with 2008 financial crisis.
The UK government still owns 62% of RBS and the dividend payment was seen as a way to hike the lender's share price and allow the government to sell some of its holding.
McEwan said: "It is a privilege to return to Australia and lead NAB at a crucial time for the bank, its customers, employees, shareholders and the broader community."
NAB Interim-CEO Chronican will move into the chair role full time in mid-November. He has been interim-CEO since March.
Shares in RBS ended Thursday's session in London at 230.70 pence each. NAB closed at AUD27.51 in Sydney on Friday.
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