In a significant development in the tech industry, Synopsys (NASDAQ:ANSS), has confirmed its impending acquisition of Ansys.

The merger, initially announced on January 15, 2024, involves Synopsys' wholly-owned subsidiary, ALTA Acquisition Corp., merging with Ansys.

Post-merger, Ansys will operate as a wholly-owned subsidiary of Synopsys.

However, on May 14, 2024, Synopsys received notification from the State Administration for Market Regulation (SAMR) of the People’s Republic of China.

Although the acquisition is below the merger notification thresholds set by the Chinese State Council, SAMR has mandated that Synopsys formally notify the transaction.

Synopsys and Ansys are now coordinating the next steps to comply with SAMR's requirements.