A trio of investors, including Oracle and Silver Lake, a private-equity firm, are set to acquire about a 50% stake in TikTok’s U.S. operations, according to a source familiar with the deal.
Current shareholders of TikTok’s Chinese parent company, ByteDance, will retain around a 30% stake, the source revealed. Notable investors in ByteDance include Susquehanna International Group, General Atlantic, and KKR.
Due to significant investor interest in TikTok, the 50% stake could still change, the source warned.
Oracle and Silver Lake did not immediately respond to Reuters’ request for comments.
U.S. President Donald Trump is anticipated to approve a deal concerning TikTok later on Thursday, which would separate the app’s U.S. operations from ByteDance, resolving months of uncertainty regarding its future in the U.S.
The agreement regarding TikTok’s U.S. operations stipulates that ByteDance will appoint one of seven board members for the new entity, while American representatives will hold the remaining six seats, a senior White House official stated on Saturday.
ByteDance would own less than 20% of TikTok U.S. to adhere to a 2024 law mandating a shutdown by January 2025 if its U.S. assets weren’t sold by its China-based owner.
CNBC previously reported that Abu Dhabi’s MGX, alongside Oracle and Silver Lake, are expected to be the primary investors in TikTok U.S. with a combined 45% stake, citing sources.
MGX did not immediately respond to Reuters about the CNBC report.
MGX, specializing in artificial intelligence investments, partners with Silver Lake and is overseen by Sheikh Tahnoon bin Zayed Al Nahyan, the UAE’s national security adviser and brother of President Mohamed bin Zayed Al Nahyan.
