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Investing.com -- ByteDance, the owner of short-video app TikTok, plans to launch a new employee share buyback program valuing the Chinese technology giant at more than $330 billion, according to Reuters, citing sources familiar with the matter.
The company will offer current employees $200.41 per share in the repurchase program, representing a 5.5% increase from the $189.90 per share offered approximately six months ago, which valued ByteDance at roughly $315 billion.
The buyback is expected to be launched in the autumn.
This higher valuation comes as ByteDance strengthens its position as the world’s largest social media company by revenue. The company’s second-quarter revenue grew 25% year-on-year, reaching approximately $48 billion, according to sources.
Most of ByteDance’s revenue comes from the Chinese market as the company continues to face political pressure to divest its U.S. operations. Sources indicate that TikTok’s U.S. operations remain unprofitable.
ByteDance’s revenue growth and increased valuation demonstrate the company’s continued expansion despite regulatory challenges in various markets, particularly the United States.
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