A White House official has reported that President Trump is expected to sign an executive order on Thursday to help finalize the sale of TikTok’s US assets to a group of American investors.
The announcement comes following Trump’s meeting with Chinese President Xi Jinping on Friday to discuss the deal.
Today’s executive order is likely to declare that the deal qualifies as a divestiture, meeting the requirements of the ban-or-sale law that was passed with broad bipartisan support last year.
The president is likely to prolong the suspension of law enforcement for an additional 120 days to allow for the completion of paperwork and regulatory approvals for the deal.
As part of the deal, TikTok’s US operations, including a copy of its algorithm, will be transferred to a new joint venture based in the United States.
The app’s ownership group will primarily consist of American investors, including Oracle, and be managed by a majority-American board of directors.
If the order remains unsigned, the law will prohibit the app from functioning unless it has sold approximately 80% of its assets to US-backed investors.
By CEO NA Editorial Staff
