Banco Santander has agreed to buy the UK unit of Banco Sabadell for £2.65 billion, a deal that would make it the UK’s third-largest bank by some estimates.
Santander’s announcement said the cash deal for TSB would mean the combined bank would serve almost 28 million customers in the UK. The deal would add 218 branches to Santander’s existing UK network of 349 branches and £35 billion in customer deposits to the current £183 billion.
The enlarged company would be the UK’s third-largest bank by personal current account balances and the fourth-largest by mortgage value, Santander said. That would put it alongside NatWest Group, HSBC Holdings, Barclays and Lloyds Banking Group.
