Oracle Corporation (ORCL) shares climbed 7.43% Friday, reaching $193.50, after reports confirmed the tech company will become one of TikTok's new owners.
The Deal Structure: After weeks of uncertainty sparked by President Donald Trump's threats to ban TikTok in the U.S., a deal has finally taken shape. Oracle is teaming up with private equity firm Silver Lake and UAE state-backed investment firm MGX to acquire the popular social media platform.
Here's how the ownership breaks down: Oracle and its partners will control 45% of the new entity. Existing ByteDance investors will hold around a third of the company, while ByteDance itself—TikTok's parent company—will retain a 20% stake.
The governance structure also matters here. A seven-member board of directors will oversee operations, with Americans making up the majority of those seats. That's likely designed to address national security concerns that fueled the regulatory pressure in the first place.
For Oracle, this represents a significant expansion into the social media space and could open up new revenue opportunities through cloud infrastructure and data services.




