The court disputed the FTC’s recent attempt to block Microsoft from buying Activision Blizzard

The Federal Trade Commission (FTC) has lost what may have been its last attempt to stop Microsoft from buying Activision Blizzard. It’s the FTC’s second defeat after a US federal judge earlier this week rejected a request for an injunction preventing Microsoft from acquiring Activision Blizzard to end a separate FTC administrative case.

The FTC appealed Judge Jacqueline Scott Corley’s decision and it is now before the Ninth Circuit Court of Appeals. Rejected his request Requesting immediate relief to prevent Microsoft from completing the transaction pending the outcome of the FTC complaint.

Microsoft welcomed the rejection late Friday. “We are pleased with the swift response of the 9th Circuit Court, which denied the FTC’s request for further delay in the transaction. This brings us one step closer to the finish line in this marathon of global regulatory review,” said Brad Smith, vice president and president of Microsoft. Agree on a statement edges.

That means Microsoft is now free to finalize its deal with Activision Blizzard after a restraining order ordered by Judge Corley expires at 11:59 PT tonight. Microsoft has until July 18 to finalize the deal; Otherwise, the company may have to renegotiate terms with Activision Blizzard, pay a $3 billion break-up fee if Activision wants to leave, or extend the contract naturally if both sides agree.

Microsoft may not be able to close the deal immediately. The complex issue of blocking the deal in the UK remains. The UK Competition and Markets Authority blocked the deal with Microsoft earlier this year, citing competition concerns in the growing cloud gaming market. CMA and Microsoft agreed to stay their litigation to consider how to modify the transaction to address CMA’s cloud gaming concerns.

The UK regulator warned this week that Microsoft’s proposals “could lead to a new merger” and that talks with Microsoft are at an early stage. The Capital Markets Authority also issued a notice today extending the full investigation of the deal and shifting the date of final commitment or final order from July 18 to August 29.

Renewal of CMA is after closure of business Bloomberg to call Microsoft is considering selling the UK cloud gaming rights to a telecoms, gaming or internet company to enable Activision UK to complete the deal.

Update July 15 at 8pm ET: Updated article with a comment from Microsoft