Abu Dhabi royal family to take stake in TikTok US
3 hours ago
- #TikTok
- #Investment
- #US-China Relations
- Abu Dhabi's MGX fund, chaired by Sheikh Tahnoon bin Zayed Al Nahyan, will acquire a 15% stake in TikTok US and gain a board seat.
- Oracle, Silver Lake, and MGX will collectively control about 45% of TikTok US, with American companies expected to hold over 65% ownership.
- ByteDance, TikTok's Chinese owner, will retain a 19.9% stake in the US operation.
- President Trump approved the deal via executive order, ensuring TikTok US is majority-owned and controlled by US entities.
- The deal values TikTok US at $14bn, significantly lower than ByteDance's overall $330bn valuation.
- Trump mentioned having a 'good talk' with Chinese President Xi Jinping, who reportedly gave approval for the deal.
- US Vice-President JD Vance emphasized the deal protects Americans' data privacy while allowing TikTok to continue operating.
- The agreement follows a US law mandating ByteDance sell TikTok US due to privacy and national security concerns.