Blackstone is in discussions to acquire a minority stake in TikTok’s US operations as part of a broader effort led by ByteDance’s existing non-Chinese shareholders to separate the platform from its Chinese parent, according to sources cited by Reuters.

The private equity giant is considering joining a consortium of ByteDance’s international investors—including General Atlantic and Susquehanna International Group—who are spearheading a potential buyout of TikTok’s US business. The plan under consideration would see the creation of a standalone US entity, with Chinese ownership reduced to below the 20% threshold required under current US law.

This move follows legislation requiring ByteDance to divest TikTok by 19 January or face a nationwide ban on national security grounds. Although the app was temporarily suspended in January, enforcement has been postponed until 5 April. President Donald Trump has indicated a willingness to delay the deadline further, while also suggesting potential tariff reductions on China as part of ongoing negotiations.

The proposed deal would likely require significant additional capital to buy out ByteDance’s Chinese shareholders. ByteDance’s current ownership structure includes 58% global investors, 21% held by founder Zhang Yiming, and 21% by employees—7,000 of whom are US-based.

The White House is playing an unusually direct role in facilitating the transaction, engaging in negotiations typically left to investment banks. A separate restructuring plan under consideration would involve Oracle and ByteDance’s current shareholders assuming control of TikTok’s US operations.

As the April deadline approaches, private equity is poised to play a central role in shaping the future of one of the world’s most valuable digital platforms.