However, the latest round which began last week, raised the buy-back offer for those who had already left the company. The price was increased to US$124, up from the previous round’s US$116, one source said.
ByteDance did not immediately respond to the Post’s request for comment.
Strong cash flows have allowed ByteDance, which does not disclose its financial performance and equity structure in detail, to repurchase shares from employees and early investors. In September 2022, ByteDance made a US$3 billion repurchase from investors even as its IPO plans remained uncertain.
ByteDance posted robust financial results in 2022, according to media reports. Its pre-tax profit surged nearly 80 per cent year on year to US$25 billion, The Financial Times reported, while its revenue jumped over 30 per cent to US$80 billion, according to Bloomberg News.
Its flagship app TikTok has been facing mounting pressures in the West. The app was banned on US federal devices over data concerns and Montana became the first US state last week to pass a bill that makes it illegal to download the app in the state.
Threatened by a wider ban from the Joe Biden Administration, TikTok chief executive Chew Shou Zi testified last month at a congressional hearing over data security and other concerns due to the social media app’s ties to China. An official decision on the ban is awaited.
Oracle, a US-based company that provides cloud infrastructure for TikTok’s US user data, is “reportedly auditing TikTok’s algorithms to ensure that US user data is safe from manipulation”, a US Congressional report said last month.
