DBS names new chief to replace Paillart


Banks in Singapore went through a process of consolidation last year

SINGAPORE (CNN) -- DBS Group Holdings, Southeast Asia's biggest banking group, said Jackson Tai will become its new chief executive on June 30, replacing Philippe Paillart.

Frenchman Paillart, who joined DBS Bank in July 2000 and was appointed CEO in January last year, is stepping down for personal reasons, the bank said Sunday.

Shares in DBS Group are down 1 cent or 0.78 percent to S$12.70 in early trade Monday in Singapore.

Tai, a 25-year veteran with investment bank J.P. Morgan and an American citizen, has been with DBS since 1999, first as chief financial officer and as president and chief operating officer from January 2001.

As well as being appointed CEO of DBS Bank, Tai will become vice chairman of DBS Group Holdings.

'Valuable insights'

Group chairman S. Dhanabalan said Paillart, a former senior executive with Ford Motor Credit Co, had shared his "very valuable strategic and marketing insights" over the past two years, and the bank thanked him for his stewardship.

During Paillart's time at the helm, DBS acquired a 72 percent stake in Hong Kong's Dao Heng Bank.

Paillart said in a note to staff that DBS was now a regional bank with a significant presence in the two Asian hubs, Hong Kong and Singapore.

DBS said it would give a "reinforced emphasis" on its Hong Kong operations and named Frank Wong as Dao Heng chairman, with oversight of all DBS activity in Hong Kong.

Singapore banks went through a process of consolidation last year, with DBS attempting to take over fourth-ranked OUB in August. But it was beaten by second-ranked UOB, with struck a friendly merger with OUB(Full Story).

Earlier, the No. 3 Singapore bank, OCBC, took over fifth-ranked Keppel TatLee Bank.