Get the latest updates as we post them — right on your browser

. Last Updated: 07/27/2016

Portugal Banks Sold

MADRID, Spain -- Banco Santander Central Hispano, the largest Spanish bank, said it would buy two banks in Champalimaud Group of Portugal but would not achieve its earlier bid for 40 percent of the group because of stiff opposition from the Portuguese government.

Banco Santander's co-chairmen flew unexpectedly to Lisbon on Thursday, trying to end a long-running dispute in which Portugal defied European Union orders to permit the Spanish bank to pay 1.2 billion euros, or $1.25 billion, for 40 percent of Champalimaud.

Under the compromise reached Thursday, Banco Santander will get temporary control of the Champalimaud Group on the condition that it sell all of its properties except two banks, Banco Totta e Acores and the mortgage bank Credito Predial Portugues, a Santander executive said.

The price for the two banks was not immediately disclosed.