Spanish banking giant Santander on Tuesday said it (NYSE.SAN, MCE.SAN) has reached a deal to buy an 8% equity stake in Chinese lender Bank of Shanghai, Agence France Presse reported. This investment makes Santander the second-largest shareholder in Bank of Shanghai and a strategic international partner. The deal will cost Santander US$647 million. The two institutions plan to develop joint wholesale banking activities in China. Santander is the biggest bank in Europe. In May it got regulatory approval to purchase a stake in Bank of Beijing (601169.SHA).