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SANTA ROSA, Calif. & LONDON – Keysight Technologies, Inc. (NYSE: KEYS), a prominent player in the design and test solutions market, has obtained a significant regulatory go-ahead from the United States Department of Justice (DOJ) for its planned acquisition of Spirent Communications PLC (London Stock Exchange Symbol: SPT). This development marks a key step towards the completion of the acquisition, which is anticipated to be finalized during Keysight’s fiscal third quarter ending July 31, 2025.
As part of the DOJ’s review process, Keysight and Spirent have agreed to a consent decree that includes the divestiture of certain Spirent business lines. These include the high-speed ethernet, network security, and channel emulation segments, which will be sold to VIAVI Solutions, Inc. (NASDAQ: VIAV) or another DOJ-approved buyer. Keysight’s strong financial health score of "GOOD" from InvestingPro and current ratio of 3.37 suggest it’s well-positioned to manage this strategic acquisition. The divestment is a contingency for the acquisition to move forward and is subject to regulatory approvals and the finalization of the acquisition itself.
Keysight has also amended its agreement with VIAVI to include Spirent’s channel emulation business in the divestiture, a decision that was made around the date of this announcement.
The completion of Keysight’s acquisition of Spirent remains contingent on meeting several other conditions, including the sanction of the Scheme by the Court. Both companies are working to satisfy these conditions and have expressed their commitment to meeting the regulatory requirements set by the State Administration for Market Regulation of the People’s Republic of China.
Keysight Technologies is recognized as an S&P 500 company and serves as a global innovation partner, offering solutions across various markets including communications, industrial automation, aerospace and defense, automotive, semiconductor, and general electronics.
The information provided in this article is based on a press release statement from Keysight Technologies, Inc.
In other recent news, Keysight Technologies reported its financial results for the second quarter of 2025, surpassing expectations with earnings per share of $1.70 and revenue of $1.31 billion, both exceeding forecasts. The company has raised its full-year revenue growth expectation to 5-7%, reflecting confidence in its market position and demand outlook. The U.S. Department of Justice has required Keysight to divest Spirent Communications’ high-speed ethernet testing, network security testing, and RF channel emulation businesses to address antitrust concerns related to their proposed $1.5 billion merger. JPMorgan has updated its outlook on Keysight, raising the price target to $177 and maintaining an Overweight rating following the company’s strong second fiscal quarter performance. Susquehanna has reiterated a positive outlook on Keysight, highlighting the company’s earnings recovery in the wireless sector and anticipated growth in the wireline segment. Additionally, Keysight announced executive changes with the retirement of Soon Chai Gooi and the appointment of Ingrid Estrada as the new Senior Vice President, Chief Supply Chain and Operations. These developments indicate a period of significant activity and strategic adjustments for Keysight Technologies.
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