Santander Clears Final Hurdle in $12.2 Billion Acquisition of Webster Bank

The Federal Reserve has given its approval for Banco Santander's acquisition of Webster Bank. The $12.2 billion deal is expected to be completed on August 20, after receiving approvals from other regulatory bodies including the Connecticut Department of Banking and the European Central Bank. With this approval, Banco Santander will become one of the largest banks in the US.

Webster Bank has 95 branches statewide in Connecticut, compared to 13 for Santander. The acquisition will expand Santander's scale and round out its US business model, according to Christiana Riley, CEO and President of Santander US. She stated that 'bringing together these two highly complementary businesses' will enable Santander to better serve customers and help local communities prosper.

Webster Bank is the largest Connecticut-headquartered bank based on several measures, including branches and deposits. After the acquisition, most of Webster's businesses will become part of Santander Bank NA, Santander's banking franchise in the US. In the meantime, both banks continue to operate independently, with customers not needing to take any immediate action.