The CEO of the video platform informed staff members on Thursday that ByteDance, the Chinese owner of TikTok, has entered into legally binding agreements with US and international investors to run its business in the US. A memo from CEO Shou Zi Chew states that a group of investors, including Oracle, Silver Lake, and the Emirati investment firm MGX, will hold a 50% stake in the joint venture.
The agreement, which is scheduled to finalize on January 22, would put a stop to Washington’s years-long attempts to compel ByteDance to sell its US business due to national security concerns.
It is consistent with an agreement made in September when US President Donald Trump postponed the implementation of a legislation that would have prohibited the app unless it was sold.
In the email, TikTok stated that “over 170 million Americans to continue discovering a world of endless possibilities as part of a vital global community” would benefit from the agreement.
Oracle, Silver Lake, and Abu Dhabi-based MGX will each own 15% of the company, while ByteDance will keep 19.9%. The document states that affiliates of current ByteDance investors will own an additional 30.1%.
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