Billionaire Frank McCourt has reportedly secured $20 billion in investor commitments toward a potential acquisition of China-owned TikTok – an effort that could gain steam after a federal appeals court upheld Congress’s law requiring a sale of the app on Friday.
McCourt’s Project Liberty – a internet-focused firm that includes a for-profit arm and a non-profit research institute – has secured “informal commitments of more than $20 billion of capital,” Axios reported. The group is reportedly set to host an investor roadshow in New York and San Francisco next week to rally more support.
McCourt said his group “is uniquely positioned to assume stewardship of TikTok” and would prioritize user safety if a transaction was completed.
“The technology we are building respects individuals by returning to them ownership and control of their identity and their data, not by surveilling them,” McCourt told the outlet.
“This is possible because we’re not influenced by foreign actors, we’re not beholden to Big Tech, and we’ve built the necessary technology that can support this powerful platform loved by more than 170 million Americans,” McCourt added.
Project Liberty has not yet disclosed the names of investors who have committed the money. The group has reportedly tapped the services of Guggenheim Securities and law firm Kirkland & Ellis to assist with its bid.
The Post has reached out to TikTok for comment.
A three-judge panel rejected TikTok’s claims that the law – which requires TikTok parent ByteDance to sell the app by Jan. 19 or be banned in the US – was unconstitutional. Congress pursued the divestment bill due to concerns that TikTok was a national security threat.
TikTok denies the allegations. The law passed in April despite a frantic lobbying effort on Capitol Hill by TikTok.
It is widely believed that any US investor group that succeeded in buying TikTok would need to rebuild the recommendation algorithm that powers the app. The Chinese government has vowed to oppose a forced sale.
Former Treasury Secretary Steven Mnuchin has also expressed interest in buying TikTok and has held talks with investors about potentially putting together a bid.
TikTok claims that selling TikTok is not possible within the bill’s limited timeline. The law gives the president the option of extending the sale window by 90 days if there are signs of progress toward a deal.
Both the DOJ and TikTok asked the court to issue a ruling by Friday to ensure there is enough time to react to the decision before the law takes effect. TikTok is expected to appeal the ruling to the Supreme Court.
In another twist, President Trump – a longtime critic of TikTok – has said he is against a ban.