Tencent Technology News, according to foreign media reports, US optical component supplier Lumentum Holdings announced on Thursday that the company's $1.7 billion acquisition of optical communications solutions provider Oclaro transaction has been approved by Chinese regulatory authorities.
Lumentum, Apple's Face ID component supplier, announced in March that it would acquire all of Oclaro's shares in stock plus cash, at a time worth about $1.8 billion.
Lumentum said at the time that the deal was aimed at broadening its laser portfolio and gaining an edge in the fast-growing 3D sensing technology market.
However, due to the demand of the new iPhone market, Lumentum lowered its quarterly earnings forecast in mid-March and lowered its revenue forecast by US$70 million, mainly due to the decline in orders from Apple.
Lumentum also today expects the deal to be completed around December 10 this year. Upon completion of the transaction, Oclaro shareholders will own approximately 16% of the combined new company.