Spain’s Banco Sabadell has acquired nearly all the assets and certain liabilities of Florida-based Lydian Private Bank under the terms of an agreement with the US Federal Deposit Insurance Corporation, media reports said.

The FDIC shut down the Palm Beach-based bank on Friday and reached a loan-share agreement with Banco Sabadell under which the Spanish bank’s Sabadell Unit Bank unit will take over the organisation. The FDIC will be responsible for absorbing 80 per cent of the losses on certain loans acquired by the Spanish bank.

Lydian Private Bank’s six offices will be open on Monday and do so as Sabadell United Bank branches, expanding the Spanish bank’s network to 25 branches.

“This is a strategic acquisition that will give us a broader geographic service area, and expanded private banking services. Lydian Private Bank’s business model fits in well with our commitment to be a trusted advisor to professionals, commercial enterprises and high net worth individuals,” Sabadell United chief executive Mario Trueba said.