Former Treasury Secretary Steven Mnuchin said Thursday that he is putting together a group of investors to try to buy TikTok, a day after the House enacted legislation that could force the popular app’s Chinese owners to sell the company.
The House bill would outlaw TikTok in the United States unless Bytedance sold the company within six months. Lawmakers passed the bill, noting the risk that China could gain access to data about the millions of Americans who use the app on a regular basis.
“It’s a great business, and I’m going to put together a group to buy TikTok,” Mnuchin stated during an interview with CNBC.
The former Treasury Secretary under President Trump did not say who he was in talks with.
TikTok is widely seen as an appealing target, even though Bytedance has stated unequivocally that it is not for sale.
Also, despite the fact that the House bill passed decisively, its fate in the Senate is significantly more uncertain. Even if it passes Congress, it is likely to encounter significant judicial hurdles.
Fears the Chinese government could disrupt U.S. elections via TikTok
Critics have raised concerns about the app’s impact on national security, suggesting that the Chinese government may have the ability to spy on its users or exploit the app to interfere with the upcoming U.S. elections.
Bytedance has firmly denied these allegations, emphasizing that it has not been approached by the Chinese government to access the data of American users. Furthermore, the company has made it clear that even if such a request were to be made, it would not comply with it and share the data.
There are also doubts about the affordability of TikTok, which is estimated to be worth tens of billions of dollars. A company like Meta, the parent company of Facebook, would have the financial means to acquire TikTok. However, any deal with a tech giant would most likely face antitrust scrutiny.
Steven Mnuchin, a seasoned Wall Street investor, brings a wealth of experience to his role. Prior to his tenure under President Trump, Mnuchin held positions at prestigious institutions such as Goldman Sachs. Additionally, he ventured into the world of Hollywood as a financier for a production company.
After his tenure in the government, Mnuchin has returned to Wall Street. Just recently, he made headlines by announcing his plan to invest over $1 billion into New York Community Bancorp, a struggling financial institution, alongside a group of other investors.
