Synopsys' (SNPS) planned $35 billion acquisition of Ansys (ANSS) has received clearance from the UK Competition and Markets Authority, the competition regulator said Wednesday.

Late last year, the watchdog said that the planned deal could reduce competition in the semiconductor chip design and light simulation software sector in the UK.

In a Wednesday announcement, the regulator said it would not refer the deal to a deeper investigation after accepting certain remedies from the companies.

The measures outlined by Synopsys and Ansys are "appropriate to remedy, mitigate or prevent the substantial lessening of competition, or any adverse effect which may be expected to result from it," the watchdog said.

Synopsys shares were up 1.7% in recent premarket activity, while Ansys rose 0.7%.