Federal Reserve OKs Webster deal with Santander

Banco Santander announced Tuesday that its $12.2 billion acquisition of Stamford-based Webster Bank had been approved by the Federal Reserve, putting it on the verge of completing the deal.

The authorization of the transaction by the Federal Reserve System's Board of Governors follows approvals by the Connecticut Department of Banking and federal Office of the Comptroller of the Currency in June and the European Central Bank in July. Madrid-headquartered Banco Santander expects to complete the deal on Aug. 20, about six and a half months after announcing the agreement.

"We are pleased to be one step closer to this important, strategic acquisition that will expand our scale and round out our U.S. business model," Christiana Riley, CEO and president of Santander US, said in a written statement. "Bringing together these two highly complementary businesses, Santander will be well-positioned to better serve our customers and clients, while helping local communities prosper. We are excited for this next chapter for Santander."

When the acquisition is completed, most of Webster's businesses will become part of Santander Bank NA, Santander's banking franchise in the U.S., according to Santander and Webster officials. In the meantime, Santander and Webster continue to operate independently, and customers do not need to take any immediate action, they said.

Webster is the largest Connecticut-headquartered bank, based on several measures, including branches and deposits. Webster has 95 branches statewide, compared with 13 for Santander. As of June 2025, Webster had about $40.4 billion in deposits in Connecticut, compared with around $1.9 billion for Santander, according to the most recent data from the Federal Deposit Insurance Corp.

"This is an exciting moment that will allow us to bring together our two great organizations to benefit our customers and communities," Webster CEO and Chairman John Ciulla said in a statement. "Santander's expanded scale, enhanced capabilities and financial strength will help us to deepen local relationships and build upon the trusted partnership that Webster customers have come to expect from us."