TikTok Finalizes Sale of U.S. Operations to American Investors
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TikTok Finalizes Sale of U.S. Operations to American Investors

Summary

TikTok has agreed to sell its U.S. business to a consortium including Oracle, Silver Lake, and MGX, with the deal expected to close on January 22, 2026.

TikTok has signed binding agreements to sell its U.S. operations to a consortium of American investors, including Oracle, Silver Lake, and MGX. The transaction is scheduled to close on January 22, 2026, according to an internal memo from CEO Shou Zi Chew.

Under the terms of the agreement, the new TikTok U.S. joint venture will be 50% owned by the investor consortium, with Oracle, Silver Lake, and MGX each holding a 15% stake. Affiliates of existing ByteDance investors will hold 30.1%, while ByteDance will retain a 19.9% stake.

The U.S. entity will be governed by a seven-member board of directors, with a majority of American members. The joint venture will oversee U.S. data protection, algorithm security, content moderation, and software assurance. Oracle will serve as the trusted security partner, responsible for storing U.S. user data and ensuring compliance with national security terms.

This agreement follows legislative pressure for ByteDance to divest its U.S. operations to address national security concerns. The deal is valued at approximately $14 billion and aims to allow TikTok to continue its operations in the United States without interruption.

Fact-checking

Fact-check the facts of the article using external sources and databases.

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Confirmed

TikTok has signed binding agreements to sell its U.S. operations to a consortium of American investors, including Oracle, Silver Lake, and MGX.

✓
Confirmed

The transaction is scheduled to close on January 22, 2026, according to an internal memo from CEO Shou Zi Chew.

✓
Confirmed

Under the terms of the agreement, the new TikTok U.S. joint venture will be 50% owned by the investor consortium, with Oracle, Silver Lake, and MGX each holding a 15% stake.

✓
Confirmed

Oracle will serve as the trusted security partner, responsible for storing U.S. user data and ensuring compliance with national security terms.

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