Alibaba Group HoldingLtd. is looking to take a segment of its Tmall online shopping platformand add it to its Alibaba Health Information Technology unit, Bloomberg News reportedApril 1.

The move comes after Ali Health stopped a $2.5 billion deal toacquire an online pharmacy sales platform from a separate Alibaba unit. The companyinstead signed a deal to operate Tmall's platform for a service fee amounting to21.5% of payments made by online pharmacies.

The two companies are reportedly still in talks and there isno definitive agreement.

Ali Health has seen its share of challenges as it expands inChina, with the China Food and Drug Administration halting the implementation ofa drug-coding system and regulators still in talks about when to allow online prescriptiondrug sales.