🔒European Central Bank clears Webster acquisition by Santander; Fed approval still pending

The European Central Bank has approved Banco Santander's proposed acquisition of Stamford-based Webster Financial Corp., leaving Federal Reserve approval as the final major regulatory hurdle before the deal can close. Webster disclosed the approval Tuesday in its second-quarter earnings release, stating that the deal has now received approval from the company's shareholders, the Office of the Comptroller of the Currency and the European Central Bank. The acquisition, which also received state approval, is expected to close in the second half of 2026. Santander announced in February that it would acquire Webster in a cash-and-stock deal valued at over $12 billion. Alongside the regulatory update, Webster reported second-quarter net income of $256.8 million, or $1.56 per diluted share, compared with $258.8 million, or $1.52 per diluted share, in the second quarter of 2025. Excluding acquisition-related transaction expenses, adjusted earnings were $1.60 per diluted share, the bank said. The bank ended the quarter with $57.9 billion in loans and leases, up 7.8% from a year earlier, while deposits increased 6% to $70.3 billion.