China’s ByteDance is one of the most notable tech companies nowadays. The company owns some of the most popular apps including TikTok and Toutiao. ByteDance launched its first app in March 2012. Now, after 12 years, TikTok owner ByteDance’s value has reached around $300 billion, suggest the industry insiders.
TikTok parent ByteDance valued itself at $300 billion in a recent share buyback offer
TikTok, one of the most popular GenZ apps, owner ByteDance recently announced a share buyback offer. According to The Wall Street Journal, the company claimed to have such a huge valuation. Notably, the brand had the same valuation in September 2022 too. However, its valuation had fallen 26%, to $223 billion a year later. Now, it is back to the same valuation.
ByteDance has reportedly reached out to its investors recently. It is offering a price of $180.70 per share, suggests the report. The company’s current share price is a jump of 12.9% from $160 in its last share buyback program. Furthermore, the report claims that the TikTok owner has no IPO plans. ByteDance is using the buyback program as a way to provide it with liquidity.
Furthermore, the report says this is ByteDance’s third share buyback program for its investors. The brand in December 2023 offered to buy back around shares worth $5 bullion. The brand had a valuation of $268 billion in 2023.
ByteDance’s valuation has increased even when it faces a ban in the US
TikTok owner’s valuation has reached the highest point even as the popular app faces the prospect of a looming ban in the US. In April, President Joe Biden signed a bill, which would ban the TikTok app in the States. The administration has given ByteDance until January 19 to sell TikTok or face a ban. Furthermore, the order wants to see China-based ownership of the app ended on national security grounds. ByteDance is suing the government over the ban.
The company has been in troubled waters lately. Seven families in the states sued TikTok after several suicides. Notably, this hasn’t stopped its valuation from growing exponentially.