Billionaire McCourt's group proposes TikTok US buyout

ByteDance faces a January 19 deadline under Biden’s law to sell TikTok’s U.S. operations or risk an outright ban, prompting urgency in acquisition proposals and negotiations

Frank McCourt, the former owner of the Los Angeles Dodgers and founder of Project Liberty, along with his consortium, The People’s Bid, has announced plans to submit a formal offer to ByteDance to acquire TikTok’s U.S. assets. This move is timed ahead of the January 19 deadline, which was set by a law signed by President Joe Biden, compelling ByteDance to sell or face a potential ban of the popular social media platform in the United States.

While the consortium has not disclosed the specific value of their proposal, it highlighted that the financial backing for the deal is substantial. The group has received expressions of interest from major private equity firms, family offices, and high-net-worth individuals, ensuring they have the necessary equity capital to complete the transaction. Additionally, they have secured debt financing support from one of the largest banks in the U.S., further reinforcing their financial capacity.

McCourt, who founded Project Liberty in 2022 to acquire TikTok’s U.S. operations, emphasized the importance of preserving TikTok without relying on its existing algorithm. He argued that such a move would prevent the platform from being banned while allowing millions of Americans to continue enjoying its content.

This proposal arrives in a critical period for TikTok, as the company faces increasing regulatory pressure from U.S. lawmakers, who have raised national security concerns over the app's ties to China. The bid from McCourt’s consortium could offer a potential solution, aiming to keep the platform operational in the U.S. while addressing some of these concerns.

McCourt expressed his optimism about working with ByteDance and the incoming U.S. administration to finalize the deal, positioning the acquisition as a crucial step in safeguarding TikTok’s future in the American market.