Santander to Buy Webster Bank in $12.2 Billion Deal to Build Top-Ten U.S. Retail Lender

Banco Santander ( (ES:SAN) ) just unveiled an update.

Banco Santander has agreed to acquire Webster Financial Corporation, parent of Webster Bank, in a $12.2 billion cash-and-stock deal that will create a top‑ten U.S. retail and commercial bank by assets and a top‑five deposit franchise in the Northeast. The transaction combines Santander’s consumer finance strength and digital deposit platforms with Webster’s profitable commercial and healthcare-focused franchise and low-cost, stable deposits, significantly enlarging Santander’s U.S. footprint while remaining only about 4% of group assets. Santander expects the acquisition to accelerate its path to top-tier profitability in the U.S., targeting an 18% return on tangible equity and an efficiency ratio below 40% by 2028, with projected earnings per share accretion of about 7–8% and a roughly 15% return on invested capital, all while keeping its CET1 ratio at the upper end of its operating range and maintaining its current capital distribution policy. Customers are set to benefit from a broader branch network, enhanced digital and mobile banking, and expanded product offerings, as Webster’s management team assumes key leadership roles in the combined U.S. operations and Stamford becomes a core corporate office alongside Santander’s existing hubs.

More about Banco Santander

Banco Santander is a global banking group with a significant presence in retail and commercial banking, consumer finance and digital banking services, including in the United States. In the U.S., the group has built a strong consumer finance franchise and digital deposit-gathering capabilities, and is focused on expanding scale, deposits and profitability in core markets, particularly across key states in the Northeast.

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