European Banks on the Move

I said this was going to happen not more than two months ago--that is European banks would be stepping into the US market through acquisitions. Reead this one, and watch for more.

Royal Bank of Scotland Group PLC's Citizens Financial Group Inc. has reached an agreement to buy Charter One Financial Inc. (CF) for $44.50 a share in cash, or about $10.5 billion. Charter One is based in Cleveland, Ohio.

The move is the latest step by Royal Bank of Scotland to expand its reach in the U.S. financial-services market. The deal will make Citizens one of the 10 largest commercial-bank holding companies in the U.S. Citizens will maintain its corporate headquarters in Providence, R.I.

As part of the deal, Citizens will gain reach in six territories in the Northeast, Ohio, Michigan, New York, Illinois, Vermont and Indiana.

More here.