Management board member of Deutsche Bank Christian Sewing speaks to the media at Deutsche Bank headquarters on October 29, 2015 in Frankfurt, Germany.

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Management board member of Deutsche Bank Christian Sewing speaks to the media at Deutsche Bank headquarters on October 29, 2015 in Frankfurt, Germany.

Deutsche Bank tapped Christian Sewing to be its new chief executive, the bank announced on Sunday, confirming widespread speculation that John Cryan would be replaced.

Earlier in the day, a source told CNBC that Sewing was favored by the board to take the helm of the troubled German lender. The change will take place immediately, Deutsche said in a statement, and Cryan is expected to depart the bank by month’s end.

The bank also appointed two members of its management board, Garth Ritchie and Karl von Rohr, as dual presidents.

However, Marcus Schenck, co-head of Deutsche’s investment arm, will exit the bank after its annual meeting, the statement read. Schenck was widely perceived as a potential CEO, but decided earlier this year to depart, according to a report in the Wall Street Journal on Saturday.

Cryan was on the supervisory board for two years before being made co-CEO in 2015 and then the only chief executive the following year. But under his tenure the German lender has struggled to make a profit, reporting its third consecutive annual loss in 2017.

Investors have punished Deutsche Bank with shares down over 27 percent in the last year.

Deutsche Bank had been weighing a few options for a new CEO, even approaching Goldman Sachs international chief Richard Gnodde to ask if he would be interested in taking the helm, CNBC reported last month.

Sewing is currently the German lender’s co-deputy CEO and co-head of the private and commercial bank. He has been on the management board of the bank since January 2015.

The 47-year-old has worked at Deutsche Bank since 1989 in areas including audit and risk. He has worked in Frankfurt, London, Singapore, Tokyo and Toronto.

–CNBC’s Javier E. David contributed to this article.

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