A coalition of Oracle Corp., private equity firm Silver Lake, and Abu Dhabi sovereign wealth fund MGX will control roughly 45% of TikTok’s U.S. business under a deal expected to be finalized Thursday.
Under the deal, TikTok’s Beijing-based parent company ByteDance will retain a 19.9% stake. The remaining 35% will be distributed among new and existing investors, CNBC reported, citing sources familiar with the arrangement.
Existing ByteDance backers General Atlantic, Sequoia Capital, and Susquehanna International Group are expected to contribute equity to the U.S. entity. Susquehanna, controlled by Republican megadonor Jeff Yass, already maintains a significant investment in ByteDance and holds a stake in former President Trump’s Truth Social platform.
White House officials confirmed Wednesday that China has accepted U.S. conditions for the transaction, with all parties agreeing to the proposed terms. President Trump is anticipated to sign the agreement Thursday, securing continued operations for the platform’s more than 170 million American users.
The deal would resolve a prolonged regulatory standoff that began during the Biden administration, when bipartisan legislation mandated TikTok’s sale to a U.S. entity over national security concerns regarding its Chinese ownership.
Since returning to office in January, Trump has issued four executive orders delaying implementation of the divestiture requirement. The president has expressed newfound support for TikTok, partially crediting the platform with his electoral victory over Vice President Kamala Harris.
President Donald Trump was expected to issue an executive order Thursday endorsing the proposed agreement that would allow TikTok to continue operating in the United States. The move comes as ByteDance confronts a federal mandate requiring the Chinese company to either sell its American operations or face a U.S. ban.
The bipartisan legislation, enacted amid congressional concerns over national security risks posed by the app and its sophisticated content algorithm, established the divestiture requirement. Lawmakers from both parties cited potential data security vulnerabilities and foreign influence operations as primary justifications for the measure.
Trump previously signed an executive order last week extending the divestiture deadline to Dec. 16, providing additional time to finalize the ownership restructuring.
The TikTok U.S. agreement will not include federal government equity participation or a golden share arrangement, CNBC reported Monday. Instead, the newly formed joint venture will operate under a board of directors with an American majority, while Oracle assumes responsibility for the platform’s security operations.
President Trump indicated Sunday that media mogul Rupert Murdoch and his son Lachlan Murdoch may participate in the transaction, alongside Oracle Executive Chairman Larry Ellison and Dell Technologies CEO Michael Dell.
The structure ensures private sector control while addressing national security concerns through Oracle’s security oversight and American-dominated governance.
