Discover hires interim CLO ahead of $35bn mega-merger with Capital One

Kelly Welsh is replacing Hope Mehlman, who is leaving at the end of this month

US payments business Discover Financial Services has hired veteran in-house lawyer Kelly Welsh as interim chief legal office, replacing Hope Mehlman who is leaving the company at the end of November.

Welsh brings with him more than 35 years of senior leadership experience, most recently holding director roles at Crab Tree Advisory and Bank of the West. At Discover he will be responsible for all legal matters and will also serve on its management committee, as well as head of corporate and public affairs.

Discover is a digital banking and payment services business, which operates brands including Diners Club International and the PULSE ATM network. Earlier this year, US bank Capital One agreed to buy Discover in an all-stock deal worth $35.3bn. The Biden-Harris administration had raised concerns about the deal over antitrust issues, but Donald Trump’s victory in this week’s US presidential election has given renewed optimism that the merger will be approved, with both company’s stock values surging in response.

Michael Shepherd, interim CEO and president of Discover, said: “Kelly brings an outstanding record of service, expertise and achievement and will be a key member of Discover’s executive management team as we move closer to our merger with Capital One.”

Prior to joining Bank of the West, Welsh spent three years as GC at the US Department of Commerce and before that spent 14 years as GC at financial services business Northern Trust Corporation. He also had in-house spells at Ameritech and the City of Chicago, having previously spent a decade at Mayer Brown where he started his career back in 1979 following a year clerking in the US Court of Appeals for the Seventh Circuit.

He said: “I look forward to joining the Discover executive management team as we work to complete our merger with Capital One.”

Mehlman, meantime, is leaving this month for an undisclosed new opportunity. She joined Discover at the start of last year from Bank of the West, where she was GC and corporate secretary. She also previously had in-house roles at BNP Paribas USA (as corporate secretary) and Regions Bank (as chief governance officer, among others), having started her career in private practice at Adams and Reese.

Shepherd added: “I am grateful to Hope for her leadership over the last two years. She has made significant contributions at a crucial time, helping steer the company through several significant achievements.”

In other recent US payments-related moves, last month Mastercard lost its CLO Rob Beard to laser tech business Coherent Group, with Americas GC Tiffany Hall promoted to GC.

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