* Alibaba sees no significant impact of changes in exclusivity
* Shares up 4.2% in early HK trading as uncertainty clears
* Alibaba and peers are still being reviewed for M&A deals (Reworks members, add background, bullet points)
SHANGHAI, April 12 (Reuters) – Alibaba CEO Daniel Zhang said on Monday he did not expect any significant impact from the change in the exclusivity regime imposed by China’s regulators, after an antitrust investigation found the firm’s dominant market position abused.
Alibaba Group Holdings Ltd, China’s largest e-commerce company, will introduce measures to reduce access barriers and business costs faced by traders on their platforms, Zhang told an online media and analyst conference.
China on Saturday imposed a record fine of 18 billion yuan ($ 2.75 billion) on Alibaba amid a crackdown on technology conglomerates, marking a new era after years of laissez-faire approach.
The e-commerce giant has been under scrutiny since billionaire founder Jack Ma’s public criticism of the Chinese regulatory system in October.
Hong Kong’s shares in the company rose 4.2% on Monday.
“Now that the fine has been determined, market uncertainty about Alibaba will be reduced,” said Everbright Sun Hung Kai analyst Kenny Ng. “Alibaba’s share price has lagged behind for some time in the past with the overall stakes in emerging economies. The implementation of this fine is expected to bring Alibaba’s share price back to market attention.”
The State Administration for Market Regulation (SAMR) said it had determined Alibaba, which is also listed in New York, had barred its merchants from using other online e-commerce platforms.
The regulator says the practice, which the SAMR has previously declared illegal, is in violation of China’s antimonopoly law by hindering the free movement of goods and infringing on the business interests of traders.
Vice President Joe Tsai has criticized Alibaba and its counterparts for mergers and acquisitions by the market regulator, saying he is not aware of any other anti-monopolistic investigations.
The impact of the regulator’s fine on Alibaba will be reflected in the group’s net income in the March quarter, said Maggie Wu, chief financial officer.
Apart from the imposition of the fine, one of the highest antitrust fines worldwide, the SAMR has ordered Alibaba to make ‘thorough corrections’ to strengthen internal compliance and protect consumer rights.
Alibaba said it accepted the fine and “will ensure that it complies with determination”.
The fine is more than double the $ 975 million paid in 2015 by Qualcomm, the world’s largest supplier of mobile chips, for competitive competition.
The fine on Alibaba also comes against the backdrop of regulators worldwide, including in the United States and Europe, with stricter antitrust ratings from technology giants such as Alphabet Inc’s Google and Facebook Inc. ($ 1 = 6,5522 Chinese yuan) (Report by Josh Horwitz and Yilei Sun; Additional Reporting by Scott Murdoch Written by Ryan Woo; Edited by Jacqueline Wong and Lincoln Feast.)