Santander Plans SRTs on UK, US Loans Amid Acquisition Spree (1)

Banco Santander SA is planning at least two significant risk transfers on American and British loan portfolios that will free up capital as it readies acquisitions in the US and UK.

The lender is working on an SRT tied to more than £1 billion ($1.33 billion) of commercial real estate loans in the UK, according to people familiar with the matter. In addition, it’s designated about $2 billion of US corporate loans for a deal, said the people, who asked not to be named because the deals are private.

Banks have latched onto risk transfers in record numbers to gain ...