Broadcom Corporation (NASDAQ:AVGO) is set to finalize its $69 billion acquisition of cloud technology firm VMware, having overcome regulatory hurdles, it said Wednesday.
The firm has received China's approval for the transaction, which was seen as the last major condition to closing the megadeal.
The 18-month process saw regulatory clearance from the UK and the European Commission, with Broadcom addressing competition concerns.
But the approval from the Chinese government was seen as the last major hurdle. Earlier this week, the Chinese state market regulator outlined specific conditions that must be met for approval, with a focus on how the companies conduct business in the Chinese market.
The conditions set by Chinese regulators include ensuring the interoperability of VMware's server software with local hardware, Bloomberg reported. The regulator emphasized that approval hinges on meeting these conditions and asserted its right to supervise and inspect the companies' adherence to the specified restrictions.
The deal involves Broadcom paying $61 billion in cash and stock, along with assuming $8 billion of VMware's debt, making it one of the largest technology deals in history.
Shares of Broadcom edged 0.8% higher in premarket trading Wednesday, while VMware shares were up 0.4% just before the bell.