Santander has been operating in the US for up to 20 years, but its acquisition of Webster is indicative of a shift from global financial companies viewing the US as a market share opportunity.
Santander has acquired commercial bank Webster Financial Corporation for $12.2bn to bolster its footprint and expand its customer base in the US.
Confirmation of the acquisition was announced yesterday (February 3) and will complement Santander N.A., its US bank. Christiana Riley will remain as Santander’s US regional CEO and CEO of Santander Holdings USA, while Webster CEO John Ciulia will serve as CEO of Santander N.A.
Webster will continue to be based in Stamford, Connecticut to become the corporate office for Santander N.A. Webster also has corporate offices located in Boston, Dallas, Miami and New York.
Santander and Webster will continue to operate as separate entities until the acquisition is closed, expected to be finalised in the second half of 2026. The Spanish bank also confirmed there will be no changes to Santander or Webster customer accounts, day-to-day services and access to branches.
“This is an exciting step forward for Santander, as it creates a stronger bank for our customers and communities we serve,” said Ana Botín, Chief Executive of Banco Santander.
The transaction is subject to customary closing conditions, including regulatory approvals and Webster and Santander shareholder approvals.
Centerview Partners, Goldman Sachs and Bank of America Europe DAC are serving as Santander’s financial advisers.
What Webster can offer Santander
Webster has 3.4 million bank account customers operating primarily in the US Northeast, according to a Q3’ 2025 financial report published in October last year.
In the report, Webster accumulated $68.2bn in customer deposits, a net interest income of $631.7bn, average interest-earning assets of $75.4bn and credit losses of $44m.
The bank has 177 operating branches and 316 ATMs while also running a dedicated segment of its business to the healthcare industry via Webster Healthcare Financial Services, including HSA Bank and Ametros.
Webster Healthcare Financial Service offers employee benefits solutions via HSA Bank, health savings accounts, emergency savings accounts and spending accounts administrations services in all 50 US states.
Its healthcare service reported $10.3bn in deposits and $6.3bn in assets during the third quarter report.
Santander N.A. already operates a healthcare finance unit in the US to help clients make transactions across the country, as well as providing financing for state-of-the-art medical technology and equipment to hospitals and health systems, out-patient clinics, and specialized providers”, according to its health care launch announcement in November 2022.
Overall, the Webster acquisition will enable Santander to expand its services, particularly in the US Northeast, where Santander believes it will become a top 5 deposit bank and a top 10 retail commercial bank in the US by assets.
“This acquisition is a significant step forward in strengthening our commercial banking presence and filling in our retail branch footprint and scale, particularly in Connecticut where we are committed to maintaining a broad branch presence,” said Riley.
US growth momentum
Santander has been investing in the US market since acquiring Sovereign Bancorp in 2009 and launched its retail banking services in 2013.
In recent years, the bank has focused on delivering digital-first services, such as its digital-only bank Openbank in 2024. Openbank offers customers savings accounts and has accumulated $4bn in deposits since May 2025.
Santander has also partnered with US mobile telecommunication services such as Verizon to support Openbank customers, as well as integrating Gravity’s cloud-native infrastructure to enhance its product development.
With the Webster acquisition, Santander projects greater access to branches for its US customers while leveraging its services to continue building out its digital and mobile banking capabilities.
Once the transaction is settled and approved, the deal will enable the bank to expand its product offerings for consumer, commercial and healthcare savings accounts, and scale its operations to become a leading bank in the US.
“Webster is one of the most efficient and profitable banks among its peers, and brings together two highly complementary franchises and will expand the products, technology and capabilities we can deliver with clear revenue opportunities from a stronger, more capable combined franchise,” added Botín.
Why are global entities now interested in US banking M&A?
The US continues to be one of the largest banking economies alongside China for the past decade, but there has been increased focus from banks and fintech firms alike either strengthening their foothold or entering the market for the first time.
This is in part to President Donald Trump’s de-regulation stance which has affected lax controls over the Office of the Comptroller of the Currency (OCC) and Consumer Finance Protection Bureau (CFPB).
A myriad of fintech’s and crypto companies have applied for a national bank trust charter licence with the OCC, such as Nubank and Coinbase, due to the licence enabling these companies to bypass state-by-state money transmitter rules.
Europe’s most valuable fintech Revolut has pondered acquiring a regional/mid-size US bank to kickstart its US expansion. However, in January 2026 its plans were diverted and is now seeking a de-novo banking licence approval from the OCC according to reports.
