Ola Källenius was appointed by Daimler to take a seat at the company's head in AGM unit. The company said on Tuesday that the newly hired head would be responsible in running sales and marketing its luxury car division, Mercedes-Benz. This was according to a statement issued by the company.

Källenius would replace former Daimler managaer Joachim Schmidt who had been said to retire.

According to Chief Executive Dieter Zetsche said, "With Ola Källenius we have someone with cars in his blood taking over the reins.

"With Ola Källenius we have someone with cars in his blood taking over the reins," Chief Executive Dieter Zetsche said, describing the 44-year-old as a brand expert with a deep knowledge of Mercedes customers. We have him to thank for the fact that in recent years AMG has achieved double-digit growth rates and has significantly increased its market leadership in many markets,"

Since April 2010, Källenius had run the performance unit of Mercedes, AMG.