Santander hires army of advisers

ABBEY National's Spanish suitor has swelled the ranks of its City advisers as it braces itself for a bidding war. Banco Santander Central Hispano already has three investment banks working on its £8.3bn agreed bid for the High Street bank.

But with counterbids from HBOS and Lloyds TSB expected in September, it has hired a second public relations firm. Maitland will begin day-to-day spinning for the Spaniards, while Brunswick will be retained to give 'strategic' advice.

There are lingering concerns about Santander's corporate governance. Belgian researcher Deminor gives the bank a clean bill of health, but points out that directors can be re-elected to the board for an 'infinite number' of three-year terms - in breach of UK boardroom best practice.

The company recently scrapped 72 as the upper age limit for directors. Patriarchal chairman Emilio Botin is 70 this year.

Brussels will rule on the Santander takeover by 17 September, even though its offer document for Abbey may not be posted until the end of next month.

Meanwhile, Abbey's chief operating officer Stephen Hester returned from holiday keen to negotiate a quick exit. Hester will join property giant British Land as chief executive by November.