Private equity giant Blackstone is exploring a potential minority investment in TikTok’s U.S. operations, joining a group of non-Chinese shareholders led by Susquehanna International Group and General Atlantic. This group is actively discussing fresh capital infusion to bid for TikTok’s U.S. business, with plans to spin off the U.S. operations into a separate entity, reducing Chinese ownership below the 20% threshold required by U.S. law.
This move comes as TikTok’s future in the U.S. hangs in the balance due to national security concerns. A law passed last year mandates ByteDance to divest TikTok by January 19 or face a potential ban. While the deadline has been extended under President Trump’s administration, negotiations continue to ensure compliance with the law.
ByteDance and its investors, including Blackstone, have yet to disclose the amount of new investment needed to meet the divestment requirements. Legal filings indicate that global investors own about 58% of ByteDance, with the company’s Chinese founder Zhang Yiming holding another 21%. Employees from various nationalities, including 7,000 Americans, own the remaining shares.
Discussions surrounding TikTok’s future involve significant U.S. government input, with the White House acting as a key player in the deal-making process.
