UniCredit’s Orcel takes charge of Italy in domestic drive

Andrea Orcel, then UBS chief govt, leaves immediately after attending a United kingdom parliamentary inquiry into Libor interest prices in London January 9, 2013. REUTERS/Olivia Harris

MILAN, July 6 (Reuters) – UniCredit CEO Andrea Orcel has taken direct duty for functioning the Italian bank’s domestic enterprise, an inner memo showed, right after the board taken off Niccolo Ubertalli as its head.

Ubertalli’s surprise ousting arrives around a year immediately after he was appointed as head of Italy and follows the latest exits of other prolonged-standing senior UniCredit executives.

Orcel, former head of financial commitment banking at Swiss financial institution UBS (UBSG.S), took around as UniCredit’s main govt in April 2021 and set about reshuffling its senior administration group, together with by bringing in previous UBS colleagues.

Ubertalli, who had been tipped as an interior candidate to the CEO purpose when Orcel got the task, did not right away reply to a ask for of remark.

UniCredit, which is Italy’s second major lender, is still undergoing a period of inner adjustment less than the new management group, a few men and women with expertise of the make a difference explained.

The board’s conclusion to strip Ubertalli of his job with quick impact follows friction over technique, the individuals explained, requesting anonymity presented the sensitivity of the issue.

As Italy-based group CEO, Orcel already performs responsibilities that in other countries in which UniCredit operates are finished by nearby CEOs, such as conferences with significant company shoppers or authorities ministers, a further two men and women close to the make any difference stated.

Reversing a final decision by his predecessor to run Italy as aspect of a Western Europe commercial banking division like Germany and Austria, Orcel experienced entrusted it to Ubertalli, who was then the co-head of Central Eastern Europe.

After Jean Pierre Mustier’s attempts to distance UniCredit from its debt-laden residence marketplace, which the former CEO noticed as a resource of vulnerability, Orcel had promised alternatively a renewed aim on Italy and has been doing the job to get back sector share.

“We are completely ready to more increase Italy’s existence at a team level, enabling it to transfer more quickly in its transformation … whilst navigating the envisioned unstable atmosphere,” the internal memo witnessed by Reuters said.

“As this kind of, the board has made a decision to make the job of Head of Italy section of the group CEO’s immediate remit,” it added.

The final decision more than Ubertalli follows the departure of UniCredit’s Main Functioning Officer Ranieri de Marchis in Could and that of Andrea Maffezzoni, UniCredit’s head of general performance management and previous M&A main in June.

“The good results of Italy is basic to the results of our team … Bringing our Italian enterprise below the remit of the group CEO will cement this alignment,” Chairman Pier Carlo Padoan and Orcel reported in the information to employees.

Remo Taricani, the head of UniCredit’s commercial community in Italy, will help Orcel by getting deputy head of Italy.

Reporting by Valentina Za Enhancing by Emelia Sithole-Matarise and Alexander Smith

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