DJ Alibaba's Regulatory Overhang Looks Mostly Removed After Record Antitrust Fine -- Market Talk
0810 GMT - The regulatory overhang faced by Alibaba Group has likely been removed after Beijing decided on a penalty for the company, Citi says. After four months of antitrust probe as authorities seek to rein in the tech giant, the country's top market regulator over the weekend found Alibaba guilty of monopolistic behaviors and imposed a $2.8 billion fine, which is 4% of its 2019 sales. Citi reckons this is a sign of closure of the regulators' investigation into Alibaba, while Alibaba's decision to accept the fine and waive its right to appeal shows the company is willing to resolve the issue quickly and move forward. Its H-shares jump 6.5% to HK$232.20. (yifan.wang@wsj.com)
(END) Dow Jones Newswires
April 12, 2021 04:10 ET (08:10 GMT)
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