WASHINGTON—The Justice Department on Thursday sued to block the tie-up of Hewlett Packard Enterprise and Juniper Networks, a $14 billion deal that would join the second-largest and third-largest providers of wireless networking solutions for large corporate customers.

Juniper Networks stock fell Thursday after the Justice Department moved to block a planned acquisition of the networking company by Hewlett Packard Enterprise.The Justice Department filed a complaint in California district court that seeks to block the merger on antitrust grounds.

The lawsuit said that the combination of businesses would eliminate competition, raise prices and reduce innovation.