Published: 2016-11-24 07:30:00 CET
LHV Group
Changes board/management/auditors

Madis Toomsalu will be the new CEO of AS LHV Group

At yesterday’s meeting of the Supervisory Board of AS LHV Group the current CEO Erkki Raasuke announced his will to resign from the position. The Supervisory Board plans to grant his resignation on 5 December and at the same time elect Madis Toomsalu as the new CEO of LHV Group.

Mr Madis Toomsalu has worked in LHV since 2007. He is currently the Head of Credits at LHV Bank and also chairman of the bank’s Credit Committee.

According to Rain Lõhmus, Chairman of the Supervisory Board of AS LHV Group, the company will get a new leader, who has contributed considerably in developing LHV to the company it is today. "For a bank the most important field is credits. Madis has shown remarkable work in leading this field of work. For a bank the credit losses of LHV have been close to non-existent under Madis’s supervision, reaching only a couple hundred thousand euros for that time," Lõhmus said. "Madis knows LHV and the culture of our organization very thoroughly. He has shown himself as a capable manager and has also played a key role in building up LHV and its image," Lõhmus added.

"There are big challenges, but also opportunities laying ahead of LHV. We don’t only have to cope with constantly developing regulations, negative interest rates, political decisions and market competition, but need to turn these into customer satisfaction, sense of security for depositors, convenient loan products and a rise in value of our company. LHV will continue seeking value growth in both the domestic and, when possibility rises, foreign markets," Madis Toomsalu said.

Toomsalu first started working at LHV in 2007 as a stock analyst. After LHV received its banking license in 2009 Toomsalu began work as a credit analyst and filled the position of Head of Credit analysis department in 2011. In 2012 he became Head of Credits and also a member of the bank's Credit Committee, which he is the chairman of since 2014. Toomsalu has obtained a bachelor’s degree in business management from Tallinn University of Technology in 2009 and a master’s degree in 2011 in public sector finance.

Mr Erkki Raasuke started his work as the CEO of LHV Group in September 2013. Under his leadership LHV became a public company as the company’s subordinated bonds were listed last year and this spring an initial public offering of shares was concluded.

"LHV is a well-functioning organization that carries a good momentum and is showing good growth on otherwise slow-moving market. My role has been supporting this rapid growth and I have not been on the forefront of business. LHV has a strong team with an extraordinary capability of executing decisions according to plans. Our big undertaking for the year 2016 was listing LHV shares on the stock market and considerably growing our investor base. We achieved this rather well. I have decided now that it’s time to take part in the ongoing restructuring of Baltic banking in a new, more operative role," Erkki Raasuke said.

Yesterday LHV Group notified the Estonian Financial Supervision Authority of the intention to elect a new CEO for LHV Group.

LHV Group is the largest domestic financial group and capital provider in Estonia. LHV Group's key subsidiaries are AS LHV Pank and AS LHV Varahaldus. LHV employs over 250 people and over 100,000 customers use LHV’s banking services. Pension funds managed by LHV have over 175,000 customers.

         Priit Rum
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