Recently, Bradesco, the largest bank in Brazil, announced that its CEO, Luiz Carlos Trabuco Cappi, would soon be stepping down from his duties in that role. The move comes amid other major changes at the bank. Longtime chairman of the board Lazaro Brandao has announced that he, too, will be stepping down from his role. Brandao will be permanently leaving the business world.
Trabuco Cappi has been continuing as CEO based on special waivers
At 67 years old, Trabuco Cappi has already exceeding the statutorily maximum age of being CEO by two years. He has been operating on special waivers that were issue directly from Brandao himself. This has occurred as a result of the finalization of the HSBC acquisition, which took place back in 2015 and involved the total acquisition by Bradesco of all of HSBC Brazil’s assets. Trabuco Cappi had a level of knowledge and understanding of the deal that no one else could match. As a result, he was permitted to stay on as CEO while all of the loose ends from the deal were tied.
But now, he will be moving to the role of chairman, replacing the longest-serving chairperson in the country and, possibly, in the world. At 92 years old, Brandao has been with the firm for over 75 years, making him easily one of the most experienced bankers in the country and a difficult person to replace.
But Trabuco Cappi has also been described as someone with an encyclopedic knowledge of the Brazilian financial industry. Like Brandao, Trabuco Cappi has enjoyed an extremely long career with the bank, working continuously there since the end of the 1960s. In a career spanning more than 45 years, Trabuco Cappi has learned nearly everything there is to know about running a large financial institution.
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Over his tenure at Bradesco, Trabuco Cappi has been in charge of some of the most important departments in the bank, radically expanding the bank’s business and improving the efficiency and effectiveness of its business models.
One of the most important moments of Trabuco Cappi’s career was the 2015 acquisition of HSBC Brazil. The deal was hugely complex, involving an entire legal team and hundreds of people working around the clock on performing due diligence for months. Because of the extreme complexity of the acquisition, Trabuco Cappi was permitted to stay on as CEO longer than anyone else in Bradesco’s history. It was feared that if a new CEO were appointed before the complete integration of HSBC Brazil and all of its assets were completed that the person in charge may end up bungling the integration process due to a lack of first-hand knowledge. For this reason, Trabuco Cappi was allowed to stay on as CEO for two entire years after he otherwise would have been forced to retire.
But now he will be assuming the role of chairman, a position that almost everyone close to the process agrees he will be capable of administering with great effectiveness. In the meantime, he will be in charge of appointing his successor, a process that Trabuco Cappi has said is very important. He has made it clear that he will take his time in deliberating on choosing the next CEO, although he only has until March of 2018 to do so.
Throughout his career, Trabuco Cappi has demonstrated a strong vision and able leadership. He has turned struggling business units into profitable ones and was the single person responsible for likely saving Bradesco from becoming insolvent, with the HSBC acquisition in 2015 according to jusbrasil.com.br. For this reason, it is a good bet that he will prove to be an able chairman.
Learn more about Luiz Carlos Trabuco Cappi: https://www.terra.com.br/economia/trabuco-assumira-presidencia-do-conselho-do-bradesco-banco-nomeara-novo-chefe-executivo-em-marco,9fb1d7fe927d7f26678a7543f82f02edw3u6oihm.html