STAMFORD, Connecticut, August 23, 2026, 11:07 EDT — Webster Financial’s (WBS) exit value climbed by $1.16 following a jump in Santander shares.
- Webster Financial last traded at $77.57 on August 19.
- Santander finalised the $12.2 billion deal on August 20.
- Santander’s closing price on Friday brought the package’s value to approximately $78.73.
- Webster’s exit volume reached 91.3 million shares, a level 15 times higher than its recent average.
Holders of Webster Financial Corporation NYSE:WBS shares saw an increase of roughly $1.16 per previous share after the bank’s last trade. The profit was realized via Banco Santander NYSE:SAN, and not through Webster itself. Santander ended Friday at $14.59, having risen 2.67%.
The difference is significant at this point. Webster’s delisting followed the completion of Santander’s $12.2 billion deal on Thursday. Shareholders got $48.75 in cash and 2.0548 Santander American depositary shares per Webster share.
Santander shares finished Friday at $29.98, valuing the stock element at that level. In total, the offer stood at around $78.73—1.49% more than Webster’s closing price of $77.57.
| Deal-value breakdown | Method | Per former WBS share |
|---|---|---|
| Cash portion | Fixed amount | $48.75 |
| Santander ADS portion | 2.0548 times $14.59 | $29.98 |
| Friday total package | Cash plus stock | $78.73 |
| Webster shares at final close | August 19 | $77.57 |
| Variance | $78.73 minus $77.57 | $1.16, or 1.49% |
Cash made up 61.9% of the value of Friday’s package, while Santander shares contributed the other 38.1%. Each $1 fluctuation in Santander shares now alters a former Webster holder’s stake by $2.0548 per share.
Webster’s previous session saw 91.3 million shares traded, a surge to 15.4 times its three-month average of 5.9 million. This volume jump aligns with trends seen during merger settlements and index adjustments, but the companies did not attribute it to any specific reason.
The bank that was acquired posted robust profits but faced weaker margins at the time of the transaction. Adjusted earnings for the second quarter stood at $1.60 per share. The net interest margin declined by 18 basis points compared with the previous year.
| Webster credit and earnings | Q2 2026 | Q2 2025 | Change |
|---|---|---|---|
| Diluted EPS | $1.56 | $1.52 | up 2.6% |
| Net interest margin | 3.26% | 3.44% | down 18 bps |
| Credit-loss provision | $31.5 million | $46.5 million | down 32.3% |
| Nonperforming-loan ratio | 0.74% | 1.00% | down 26 bps |
| CET1 capital ratio | 11.69% | 11.19% | up 50 bps |
Loans past due surged to $117.3 million, more than twice the previous amount. Webster said the rise was chiefly linked to commercial real estate. Meanwhile, nonperforming loans declined by 19.7%, and the provision was reduced by a third.
Santander’s U.S. funding base has grown. The merged entity reported $327 billion in assets, $185 billion in loans, and $172 billion in deposits at the end of the year. It serves almost eight million customers.
| Combined U.S. platform | Pro forma measure | Reference date |
|---|---|---|
| Total assets | $327 billion | December 31, 2025 |
| Total loans | $185 billion | December 31, 2025 |
| Total deposits | $172 billion | December 31, 2025 |
| Customer base | Nearly 8 million | At completion |
| Planned annual cost reductions | $800 million | By 2028 |
“By uniting Santander and Webster, we are joining two institutions that share values and close ties with their customers,” Santander US Chief Executive Christiana Riley stated. John Ciulla, former chief executive of Webster, is now at the helm of Santander Bank. Santander
Analyst targets set before close are now outdated, no longer based on current Webster guidance. Their mean estimate of $76.18 was under both the closing price and the value of Friday’s offer package. Despite this, the ratings highlight that the transaction, rather than individual earnings, ultimately dictated valuation.
| Analyst | Previous rating | Price target | Date |
|---|---|---|---|
| Barclays | Hold | $78.00 | August 3 |
| RBC Capital | Hold | $76.00 | July 22 |
| Keefe, Bruyette & Woods | Buy | $77.50 | May 1 |
| Truist | Hold | $72.00 | April 8 |
| UBS | Hold | $69.00 | April 7 |
Risks: The position is now concentrated in Santander stock. Should Santander fall 10% from Friday’s close, the package value would decrease by roughly $3.00. Additional strain could come from integration expenses, commercial-property loan issues and postponed cost savings.
Investors will switch to trading Santander instead of Webster next week. They will focus on the ADS price, deposit retention, and advancements towards achieving $800 million in annual cost savings by 2028. Santander’s goal is an 18% return on tangible equity in its U.S. operations by that year.
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