Deutsche Bank hires Johnson Chan to head China financing

Deutsche Bank has appointed Johnson Chan as a director and head of financing for Greater China, according to a release yesterday. The bank expects his specialties in Asian fixed income, including 15 years at Morgan Stanley, will strengthen its financing coverage in the Greater China region.

In his new role, Chan will help provide Deutsche Bank's corporate clients in Greater China with financing and access to the bank's integrated corporate coverage and debt capital markets platform. Chan will be based in Hong Kong and will report to Richard Li, head of North Asia debt capital markets and corporate coverage.

"Johnson's broad experience in Asian fixed income makes him an ideal candidate to lead our financing coverage efforts in Greater China, including domestic debt capital markets, structured finance and our leading international debt platform," said Li.

Prior to joining Deutsche Bank, Chan worked as a senior originator in Lehman Brothers' Asia Special Situations Group and also held a similar position at SSG Capital Management.

He started his career as a senior tax accountant with Arthur Andersen in Tokyo, before moving to Morgan Stanley where he worked in the fixed-income division in Hong Kong for 15 years, most recently as a team head and producing sales manager across various product areas.

Chan holds a bachelor degree in legal studies and business administration from University of California, Berkley.

Intense competition from domestic banks and a tighter regulatory environment have had an impact on the speed and scope of foreign banks' progression in China, PricewaterhouseCoopers found in a recent study. Foreign banks in China have had to adjust to new challenges following the global economic crisis. However, despite these challenges, the foreign lenders remain committed to the Chinese banking market, with more players now looking to become locally incorporated, the study shows.

Recently, the competition has led to some brain drain at the foreign banks too. Deutsche Bank is likely to lose one of its most senior investment bankers to the Industrial and Commercial Bank of China, for example. ICBC, which is China's and the world's largest bank by revenues, last week appointed Lee Zhang -- Deutsche's China chairman and head of global banking for Asia-Pacific ex-Japan -- as vice-president. The appointment is subject to the approval of the China Banking Regulatory Commission, but is likely to go through.

Deutsche Bank has remained a high-profile foreign lender in China's banking market over the past decade. Its most recent achievement includes winning an underwriting role for Agricultural Bank of China's (ABC) upcoming initial public offering, which is a sign that its focus on Asia and China as revenue drivers is paying off. ABC is poised to raise more than $20 billion in a dual Hong Kong and Shanghai listing and is widely expected to become the world's largest IPO ever.