JAKARTA, May 28 (Reuters) - Indonesia's antitrust agency

on Wednesday said last year's takeover of the country's biggest

e-commerce platform Tokopedia by TikTok carried a risk of

monopoly.

TikTok, owned by China's ByteDance, in January 2024

completed a deal to buy 75.01% of Tokopedia for $840 million

from GoTo.

The antitrust agency said it had found during its

investigation process a significant increase in market

concentration and the possibility of post-acquisition price

increases due to market dominance.

TikTok declined to comment while Tokopedia did not

immediately respond to a request for comment.

The antitrust agency has power to investigate and determine

violations of competition law and impose fines or issue

administrative sanctions, based on their findings.

The agency listed several requirements for TikTok and

Tokopedia, including ensuring open methods for payment and

logistics and prohibition of self-preferencing and predatory

pricing practices.

It also asked the companies to provide monthly reports every

three months for two years, as well as lists and agreement

documents of logistics and payment partner companies both before

and after the acquisition.

The next hearing is on June 10.

TikTok was forced to close its relatively new e-commerce

service, TikTok Shop, in Indonesia after the country banned

online shopping on social media platforms in September last

year, citing the need to protect smaller merchants and users'

data.