Santander to Acquire Webster for $12 Billion in US Expansion (5)

Banco Santander SA agreed to acquire Webster Financial Corp. in a $12 billion deal that will allow Spain’s largest bank to bet big on the US.

The deal, one of the largest-ever US transactions by a European lender, marks a major push by Santander to expand its operations in the country beyond its roots as one of the country’s largest auto lenders. It’s part of Executive Chair Ana Botin’s focus on boosting the bank’s reach into growth markets, while cutting back in some European countries.

Santander has been bolstering its investment-banking operations in the US. The US has been ...