TikTok signs deal for sale of its U.S. unit to joint venture

Core Insights - TikTok has finalized agreements with investors for a new US joint venture, with a closing date set for January 22, 2026, as per a memo from CEO Shou [1] - The joint venture will be structured with 50% ownership by a consortium of new investors, including Oracle, Silverlake, and MGX, each holding 15%, while 30.1% will be held by affiliates of existing investors, and 19.9% will be retained by ByteDance [2][3] Ownership Structure - The joint venture's ownership will consist of 50% held by new investors, with Oracle being the largest holder among them [3] - The remaining 50% will include 30.1% from existing investors and 19.9% retained by ByteDance, which is crucial for meeting the requirement of US ownership exceeding 50% and reducing ByteDance's stake below 20% [2][3] Operational Focus - The US joint venture will be responsible for overseeing data protection, algorithm security, content moderation, and software assurance [2]