08:03 AM EST, 12/20/2024 (MT Newswires) -- Synopsys ( SNPS ) said Friday that it remains confident in a positive outcome of the UK Competition and Markets Authority's review of the proposed acquisition of Ansys ( ANSS ) , and continues to expect the transaction to close in H1 of 2025.

The regulator said in its phase 1 findings Friday that the merger "could lead to a loss of innovation, lower quality software, and/or higher prices, which may then be passed onto UK businesses and consumers."

Synopsys ( SNPS ) said the CMA's announcement was an "expected step" in the UK regulatory review process, and that the company has already taken steps to address its concerns, including a sale of its optical solutions business to Keysight.

"We will continue our constructive and collaborative engagement with the CMA in relation to our proposed remedies," the company said.

Synopsys ( SNPS ) and Ansys ( ANSS ) shares were down more than 2% and 1%, respectively, in recent Friday premarket activity.