Bloomberg

(Bloomberg) -- EFG International AG’s takeover of BSI was approved by Swiss regulator Finma after the watchdog found that BSI had acted in serious breach of money-laundering rules in connection with Malaysia’s 1MDB fund.

The takeover was approved on the condition that BSI will be fully integrated within EFG, Finma said in a statement on Tuesday. EFG said separately that the fine will result in a reduction of the purchase price for BSI and that it expects to complete the purchase in the fourth quarter.

BSI Chief Executive Officer Stefano Coduri has resigned with immediate effect and Roberto Isolani appointed will succeed him, bank said in a separate release Tuesday.

To contact the reporter on this story: Ross Larsen in London at rlarsen2@bloomberg.net. To contact the editors responsible for this story: Neil Callanan at ncallanan@bloomberg.net, Elisa Martinuzzi

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