The chief executive officer of Bermudian-based Bacardi is to retire next year. the company has announced.

Island-based Michael Dolan, who has worked for the firm for eight years, will be replaced by company veteran Mahesh Madhavan, who is regional president for Asia, the Middle East and Africa and part of the Bacardi global leadership team in April 2018.

Mr Dolan joined Bacardi in 2009 as a member of the board of directors.

He said: “Our team is proud of the work we’ve done to strengthen the financial position of the company and improve the top-line through a sharp focus on enhancing the equity of our core brands.

“We’re delivering cost savings and reinvesting those savings in incremental advertising and promotion activities designed to captivate a new generation of consumers.

“As importantly, we have stabilised our leadership team and created robust development programmes to build a deep bench of global talent.

“I have no doubt that, with his long tenure, tremendous leadership qualities and global perspective, Mahesh will continue to drive growth and brand momentum while nurturing our culture and our people.

“I look forward to partnering with him as he prepares to assume his new responsibilities.”

Mr Madhavan, who will be based in Bermuda, said: “Our strong culture is built on the spirit of entrepreneurship and working together as one team, with a focus on equity and fairness.”

He added: “We have many exciting opportunities ahead of us and we are in the ideal position to capitalise on global spirits trends with iconic brands in the premium and ultra-premium segments.”

Mr Madhavan moved to a new role as president of Europe this year as he prepares to take up the top job.

Mr Dolan will continue on the board of Bacardi until the 2019 Annual General Meeting.

Facundo Bacardi, chairman of the family-owned company, said: “As a long-time Bacardi executive, Mahesh has the ideal mix of leadership skills, commercial, operational and financial expertise and global brand experience.”

He added that the appointment of Mr Madhavan was the result of three years of planning to ensure a smooth transition.

Mr Bacardi said: “Importantly, he fully embraces our culture, history and values and he is an exemplary leader of people.”

Bacardi also announced that Paolo Perego, regional president of Europe, will leave the company.

Alex Ouziel, at present vice-president and managing director of Eastern Europe and based in Moscow, will take over Mr Madhavan’s Dubai-based current role.

Oksana Pevtsova, will replace Mr Ouziel in Moscow.