A group of U.S. investors, with backing from YouTube star Jimmy Donaldson, also known as MrBeast, has amassed over $20 billion to bid for TikTok.
What Happened: The group, led by tech entrepreneur Jesse Tinsley, includes Roblox Corp. (NYSE:RBLX) CEO David Baszucki and Anchorage Digital CEO Nathan McCauley as investors, reported Bloomberg on Wednesday.
Tinsley told the publication that their offer is “significantly higher” than a competing $20 billion bid. He may have been referring to the Project Liberty bid by former Los Angeles Dodgers owner Frank McCourt and “Shark Tank” star Kevin O'Leary.
See Also: MrBeast’s Net Worth Hits $1 Billion—But In 2023, He Promised To ‘Give Away’ All His Money. What Drives The YouTuber’s Philanthropy?
MrBeast is not solely committed to this bid. A spokesperson for the YouTuber told the publication Donaldson is in talks with several parties and plans to back the leading offer.
Despite the substantial offer, Tinsley said that they "have not heard back directly" from TikTok’s parent company, ByteDance, which has stated that TikTok’s U.S. business is not for sale.
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Why It Matters: Previously President Donald Trump said that Microsoft Corp. (NASDAQ:MSFT) has also been in talks to acquire TikTok’s U.S. operations.
Trump has suggested that the U.S. government should hold a 50% stake in TikTok to ensure no Chinese involvement.
Oracle Corp (NYSE:ORCL) co-founder and chairman Larry Ellison, along with Tesla Inc. (NASDAQ:TSLA) CEO Elon Musk, have also emerged as possible contenders for the TikTok deal, which could help the platform reach a $1 trillion valuation.
Wedbush analyst Dan Ives estimates the sale could range between $40 billion and $50 billion.
Saudi Prince Alwaleed Bin Talal’s investment firm has also shown interest in investing in TikTok if Musk or others make a purchase offer.
Image via Shutterstock
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Read Next:
- MrBeast Unhappy With Billionaires' Silence On Feeding The Hungry After Overwhelming Interest About TikTok Purchase: ‘When I Fundraise It's Crickets'
Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.
