The hiring is the latest in a series of high-profile appointments at ICG, which has seen strong growth in recent years as investors look to put more money into alternative investments such as private equity and private credit.
With its shares up almost 45% in the year to date, ICG is currently worth around 4 billion pounds and among a group of companies in the hunt for promotion to Britain's blue-chip FTSE 100 .FTSE index.
“The company is very well positioned, delivering strong growth and over the last 10 years a total shareholder return of over 1,000%,” said Davies, who is set to replace Kevin Parry, subject to regulatory approval.
Davies is currently the senior independent director at drinks company Diageo and chairman of private equity firm Corsair Capital.
As well as his stint at StanChart, Davies has also previously served as Minister of State for Trade, Investment and Small Business during the Labour government of 2009-2010.
“The breadth of his experience, in both public and private companies, will be of great value to ICG as we continue our growth strategy,” ICG’s senior independent director, Andrew Sykes, said in a statement.
Reporting by Simon Jessop; Editing by Mark Potter