Ayala Group makes leadership changes

MANILA, Philippines — Ayala Corp., the 186-year old conglomerate, is entering a new chapter in its history, marking a major leadership transition effective April 2021.

Ayala chairman and CEO Jaime Augusto “JAZA” Zobel de Ayala, the seventh generation captain of the country’s oldest conglomerate, is passing the reins of the sprawling empire to his younger brother Fernando as the new Ayala CEO starting next year but JAZA will remain chairman of the company.

Fernando, 60, currently the president and COO, will become president and CEO on April 23, 2021 after the company’s annual stockholders meeting.

JAZA, as he is known in the business community, turned 61 this year, past the retirement age of 60. He became CEO of the conglomerate in 1994 at the young age of 35.

Jaime and Fernando are the two sons of tycoon Jaime Zobel de Ayala of the prominent Ayala clan, a Filipino family of Spanish and Danish-German ancestry.

Asked what brought about the changes especially in an uncertain time as a result of COVID-19, JAZA said it was a long time coming.

“It’s been on my mind for a while. I’ve been CEO for 25 years. One has to make transitions,” Jaime Augusto Zobel de Ayala told The STAR yesterday.

Jaime Augusto will remain busy as he focuses on his role as chairman of the board.

“It is an honor to continue leading this company with an outstanding and trusted team on our side,” Fernando said.

The Zobel brothers will retain all their current positions as chairman or vice-chairman, in the various subsidiary boards of the Ayala group of companies.

“At Ayala, it is our leaders’ responsibility to nurture talent and plan paths of succession. In this regard, I see myself as no different from our leaders past and present,” Jaime Augusto said.

“We are confident that planned leadership transitions such as this are critical ingredients for sustainable success. Moreover, we have the opportunity, with this move of decoupling the chairman and CEO roles, to reflect an evolving global best practice in environment, social and corporate governance,”he said.

He likewise recognized the leadership role of his brother.

“Fernando has successfully provided leadership across a variety of the Ayala group companies for more than two decades, and he is eminently suited to continue providing executive momentum in his new role as president and CEO of Ayala,” he said.

Fernando, on the other hand, credited JAZA for his stewardship of the Ayala Group.

“I would like to thank Jaime for his many contributions as CEO and commend him for his continuing commitment to live out the values of his recognition as a United Nations Sustainable Development Goals Pioneer in 2017, the first such honoree from Southeast Asia. I am reassured that he will continue to provide guidance in this next phase of our company’s growth,” Fernando said.

Ayala also earlier announced the appointment of Ayala Corp. CFO Jose Teodoro “TG” Limcaoco as the new president and CEO of the Bank of the Philippine Islands  effective 2021, succeeding Cezar Consing.

Alberto de Larrazabal, previously with Globe, will succeed Limcaoco as Ayala’s CFO, chief risk officer and chief sustainability officer.

Asked who will be the next COO, Jaime Augusto said, “no decision on COO at this stage.”