Spanish lender Banco Santander SA announced today that it would buy back €16.5 billion ($23.6 billion) of its fixed-rate securities at a discounted rate.

The bank said in a release that it would pay cash at a rate of between 0.61 cents and 95.5 cents on the dollar for a total of 27 different notes issued by securitization funds managed by one of its subsidiaries.

"The intention of the Invitation is to improve the efficiency of the Group's capital structure and strengthen the balance of Grupo Santander," the bank said in a statement.

Tender offers — which are not being accepted from U.S.-based investors — will be accepted until Sept. 8, with the liquidation scheduled for Sept 14.

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