The deal being negotiated anticipates participation from some of ByteDance’s current US investors, according to the sources. Jeff Yass’s Susquehanna International Group, General Atlantic, Kohlberg Kravis Roberts (KKR) and Sequoia Capital are among ByteDance’s US backers.
Representatives for TikTok, ByteDance investors General Atlantic, KKR, Sequoia and Susquehanna could not immediately be reached for comment.
Others vying to acquire TikTok, including the investor group led by billionaire Frank McCourt and another involving Jimmy Donaldson, better known as the YouTube star Mr. Beast, are not part of the Oracle negotiation, one of the sources said.
ORACLE RESPONSIBLE
Under the terms of the deal, Oracle would be responsible for addressing national security issues. TikTok initially struck a deal with Oracle in 2022 to store US users’ information to alleviate Washington’s worries about Chinese government interference.
TikTok’s management would remain in place, to operate the short video app, according to one of the sources.
The app, which is used by 170 million Americans, was taken offline temporarily for users shortly before a law that said it must be sold by ByteDance on national security grounds, or be banned, took effect on Jan 19.
Trump, after taking office a day later, signed an executive order seeking to delay by 75 days the enforcement of the law that was put in place after U.S. officials warned that under ByteDance, there was a risk of Americans’ data being misused.
