ByteDance has seven days to liquidate TikTok US property

ByteDance has seven days to liquidate TikTok US property

ByteDance has gained more time to reorganize ownership of its video sharing app TikTok in the US after the Trump administration granted another extension of the deadline to sell the business.

The US Foreign Investment Committee granted a one-week extension to expire on Friday, the company’s lawyers and the US Treasury Department said on Wednesday.

The new timeline gives ByteDance until December 4th to reach an agreement that resolves US national security concerns regarding TikTok or may be forced to sell the app’s US operations.

The Treasury Department said the extension was granted “in order to have time to review a revised template [Cfius] recently received ”.

This is the second time ByteDance has gained more time from Cfius to close a deal after months of negotiations between the Chinese company, US investors and President Donald Trump’s administration.

This month, ByteDance announced it had submitted a proposal to restructure TikTok’s US operations as a new company wholly owned by Oracle, the Silicon Valley Tech Group. Walmart, the retailer; and ByteDance’s US investors.

The Chinese company had previously tried to keep a majority stake in TikTok, which was a sticking point in the negotiations.

In September, Mr. Trump gave his preliminary approval for a deal to create a new TikTok Global entity headquartered in the United States, with Oracle overseeing the security of American user data. However, he later appeared to pull away after ByteDance and Oracle released conflicting statements about who the new entity would belong to.

ByteDance has petitioned a court to review an executive order signed by Mr. Trump that could potentially force it to divest TikTok in the United States. The company has also accused the White House of delaying approval of its earlier proposal, which it believed would address national security concerns.

“In the nearly two months since the president tentatively agreed to our proposal to address these concerns, we have offered detailed solutions to finalize this agreement. However, we have not received any substantial feedback on our comprehensive privacy and security framework,” ByteDance said earlier this month.

Regardless, ByteDance has received a reprieve from the Commerce Department’s rules that would have effectively banned the app in the U.S. this month after a federal judge issued an injunction against the ban. Justice Department attorneys have appealed the court order.

ByteDance declined to comment on the extension on Wednesday.

Additional coverage from James Politi in Washington