Spanish bank may bid for AIB

SPANISH banking giant Santander, said to be interested in deals involving AIB’s British and US operations, could potentially be a bidder for the entire AIB group.

A report in the Financial Times said recent talks involved Santander’s US subsidiary, Sovereign, merging with M&T bank in the US in a stock-based deal.

The deal could net AIB – which is trying to raise billions in asset sell-offs – about €1.2 billion, for its 22.5% stake in M&T.