Alphabet (GOOGL) (GOOG) and Wiz have moved closer to completing their $32 billion deal. The U.S. Department of Justice has finished its review, which means the agency will not block the acquisition. The step marks an important move toward closing, even though other regulators are still looking into the deal. The news comes just a few days after Alphabet delivered its first-ever $100 billion quarter.
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Meanwhile, GOOGL shares dropped 2.18% on Tuesday, closing at $277.54.
Regulators Ease the Path, But Global Reviews Continue
The Justice Department ended its review on October 24, and the Federal Trade Commission posted the notice soon after. The move, known as early termination, signals that U.S. officials no longer see the deal as a barrier to completion. Wiz Chief Executive Officer Assaf Rappaport confirmed the news during a Wall Street Journal event. However, he noted that the agreement remains under review by competition agencies outside the U.S.
The timing of the U.S. approval raised some attention since the FTC had said it would pause such reviews during the government shutdown. Still, the agency posted the update once operations resumed, listing the Pfizer (PFE) acquisition approval before Google’s, even though Google’s notice was dated earlier.
Google’s Wider Antitrust Picture
The review ending gives Google some relief at a time when the company faces global scrutiny over its market practices. Two U.S. courts have ruled that the firm broke antitrust laws in online search and advertising. Another court in Virginia is now considering whether to require Google to sell parts of its advertising business.
The Wiz acquisition, first announced in March, aims to strengthen Google’s position in cloud security. The company hopes the deal will help it compete more directly with other large players in the space. For now, with the U.S. review complete, Google and Wiz only need approval from other jurisdictions before the acquisition can move ahead.
Is Google a Good Stock to Buy?
Google still holds the backing of the Street’s analysts, with a Strong Buy consensus rating. The average GOOGL stock price target stands at $305.65, implying a 10.13% upside from the current price.
