3rdPartyFeeds

Oracle stock gains after report says company is interested in acquiring TikTok

Shares of Oracle Corp. are up more than 3% in Tuesday morning trading after the Financial Times reported that the software giant has held preliminary talks with TikTok owner ByteDance about a potential acquisition of the company's U.S. business. "President Donald Trump has given ByteDance 90 days to divest itself of assets related to its U.S. operations, citing national-security concerns about the Chinese company. "Given that there are no operating synergies between the two businesses - outside of TikTok potentially running on Oracle Cloud - we believe that this would be more of an investment on Oracle's part, with the idea of possibly spinning out TikTok once the business is based in the U.S.," Evercore ISI analyst Kirk Materne wrote. The company could work with a partner or multiple partners on a deal, he said. Microsoft Corp. has confirmed that it has looked into a possible bid for TikTok's U.S. business and Twitter Inc. is reportedly interested as well. Oracle shares have gained 4.2% over the past three months as the S&P 500 has risen 14%. Read More...

Shares of Oracle Corp. are up more than 3% in Tuesday morning trading after the Financial Times reported that the software giant has held preliminary talks with TikTok owner ByteDance about a potential acquisition of the company’s U.S. business. “President Donald Trump has given ByteDance 90 days to divest itself of assets related to its U.S. operations, citing national-security concerns about the Chinese company. “Given that there are no operating synergies between the two businesses – outside of TikTok potentially running on Oracle Cloud – we believe that this would be more of an investment on Oracle’s part, with the idea of possibly spinning out TikTok once the business is based in the U.S.,” Evercore ISI analyst Kirk Materne wrote. The company could work with a partner or multiple partners on a deal, he said. Microsoft Corp. has confirmed that it has looked into a possible bid for TikTok’s U.S. business and Twitter Inc. is reportedly interested as well. Oracle shares have gained 4.2% over the past three months as the S&P 500 has risen 14%.

Read More

About the author

admin

Add Comment

Click here to post a comment