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.