Marina Lyubimova
⬤ The United States and China have both approved an agreement to spin off TikTok's US business into a separate company controlled by American investors. Oracle and Silver Lake are leading the consortium, while ByteDance will hold onto a minority stake of just under 20%. The deal is set to close this week, right before the January 22 regulatory deadline.
⬤ This structure comes after months of back-and-forth negotiations between regulators and stakeholders from both countries. The agreement puts TikTok's US operations under majority American ownership—a requirement that's been central to the entire discussion. While there's no official valuation yet, Senator JD Vance previously mentioned a figure around $14 billion, though the parties involved haven't confirmed that number.
The agreement signals rare alignment between U.S. and Chinese authorities on a high-profile technology and media asset, according to the Semafor report.
⬤ The expected closing marks a major turning point in TikTok's uncertain future in America. It's rare to see US and Chinese officials agree on something this significant, especially after all the scrutiny over who controls what. With the January 22 deadline approaching fast, investors are keeping a close eye on final confirmation and any additional details about governance and valuation that could shape how similar cross-border tech deals play out going forward.
Marina Lyubimova
