TikTok has taken a decisive step towards securing its future in the United States after its Chinese owner, ByteDance, signed binding agreements with a group of US and international investors to operate the app’s American business.
In a memo to staff on Thursday, TikTok’s chief executive, Shou Zi Chew, confirmed that the deal will see a new joint venture take control of the platform’s US operations, bringing to an end years of political uncertainty and the threat of an outright ban on national security grounds. The transaction is expected to complete on 22 January.
Under the agreement, a consortium of investors including Oracle, Silver Lake and Abu Dhabi-based MGX will collectively own half of the new entity. ByteDance will retain a 19.9 per cent stake, while the remaining shares will be held by affiliates of existing ByteDance investors. Oracle, Silver Lake and MGX will each take a 15 per cent holding.
The deal aligns with a framework unveiled in September, when US President Donald Trump delayed enforcement of legislation that would have banned TikTok unless its US operations were sold. That law, passed by Congress in April 2024 under the Biden administration, had been due to take effect on 20 January 2025 but was repeatedly postponed as negotiations continued.
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