FINAL HOURS: Lock in your InvestingPro subscription for 50% off before sale ends
Investing.com-- ByteDance, the owner of TikTok, is preparing a new employee share buyback that values the company at more than $330 billion, Reuters reported on Thursday, citing people familiar with the matter.
The Chinese tech giant will offer staff $200.41 per share, a 5.5% increase from a program six months ago that implied a valuation of around $315 billion, according to the report.
The move underscores ByteDance’s strong financial momentum. Second-quarter revenue rose 25% year-on-year to about $48 billion, largely driven by its domestic market, Reuters said.
That growth cemented its lead over Meta Platforms Inc (NASDAQ:META) as the world’s largest social media firm by sales.
The buyback comes as ByteDance faces mounting political pressure in Washington to divest TikTok’s U.S. operations or face a ban. President Donald Trump extended the divestment deadline to Sept. 17, while lawmakers continue to push for stricter enforcement.
ByteDance has historically funded its biannual buybacks from its own balance sheet, unlike peers such as SpaceX, signaling robust margins and liquidity, the report added.