Blackstone, a private equity giant, is considering taking a small stake in the popular social media app TikTok ahead of a deadline set by President Trump for the Chinese-owned app to change its ownership or face a ban in the U.S. Blackstone’s investment could potentially boost favor with President Trump, who has been trying to save TikTok from being banned due to national security concerns related to its Chinese ownership. Other potential investors are also circling the app, which has over 170 million American users.
The most likely scenario is that existing U.S. investors in ByteDance, TikTok’s parent company, will roll over their stakes into a new independent global TikTok company, with additional U.S. investors like Blackstone coming on board to reduce the proportion of Chinese ownership. This would allow the app to continue operating without the need for a full sale of the company.
Blackstone, known for its involvement in megadeals, manages more than $1 trillion in assets and has investments in various businesses. The firm’s chief, Stephen Schwarzman, is a Republican megadonor and Trump supporter with significant business interests in China.
As the April 5 deadline approaches, discussions about potential suitors for TikTok have intensified, with Oracle and other parties also involved in the talks. The outcome of these discussions could determine the future of TikTok in the U.S. and whether it will be able to continue operating under new ownership arrangements.
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