(Reuters) -ByteDance, the parent company of TikTok, has valued itself at $300 billion, following a recent share buyback offer to investors, sources familiar with the matter told Reuters. The company reached out to investors offering $180.70 per share, marking a 12.9% increase from the previous buyback price of $160. This news was initially reported by the Wall Street Journal. Furthermore, ByteDance valuation growth demonstrates the company’s resilience despite ongoing challenges. #ByteDanceValuationGrowth
The valuation follows ByteDance’s third buyback program since 2022, aimed at providing liquidity, according to one source. Although there are no immediate plans for an IPO, ByteDance continues efforts to retain financial stability. In December 2023, the company proposed a buyback of $5 billion in shares at $160 each. This move valued ByteDance at $268 billion.
Despite ongoing challenges, including a legal battle over U.S. assets, ByteDance’s revenue grew 30% to $110 billion last year. The company faces pressure from a U.S. law signed by President Biden, requiring ByteDance to sell TikTok or face a ban. In response, ByteDance and TikTok have sued the U.S. government to block the law. Both companies have declined to comment on the matter. #ByteDanceValuationGrowth
In addition, ByteDance valuation growth signals long-term confidence in the company’s future. While there are no immediate plans for an IPO, ByteDance continues to pursue share buybacks to strengthen its position. Even with the potential legal hurdles in the U.S., the company’s ability to increase its valuation highlights its resilience and adaptability in a dynamic market.
