Andreesen Horowitz reportedly took part in negotiations as it could help acquire Tiktok's Chinese investors ahead of a significant deadline this Saturday.
The tech-centric venture capital firm led by President Trump's ally, Mark Andreessen, is in talks to buy Tiktok's shares as part of a proposed deal to spin off the app's US business, citing people familiar with the issue.
Andreesen Horowitz will partner with existing US investors Sesquehanna, KKR, General Atlantic and Coatue groups of Tiktok Parent Bytedance.
The group, which also includes Larry Ellison's Oracle, is considered a front runner to buy Tiktok, as reported by Post's Charles Gasparino.
Representatives from Andreessen Horowitz, Tiktok and The White House did not immediately return requests for comment.
Trump will need to find an acceptable buyer for Tiktok until April 5th after issuing an executive order delaying enforcement of federal laws that banned the app, unless the ordinance is sold. Congress initially took action over the fear that Tiktok's Chinese ownership was a national security risk.
According to the FT, Andreessen Horowitz was approached for potential investments by “Tiktok Advisors and the White House” and “he is strongly considering investing.”
Other asset management companies, including Blackstone Group, were reportedly approached in making investments.
The law passed in Congress required that Tiktoc shares be sold entirely or a ban on them in the United States. The acquisition of Chinese investors can help the Trump administration sell Congress to support the contract.
The federal government says Beijing can manipulate Tiktok's recommended algorithms to shake public opinion among more than 170 million American users and in other allegations to inappropriately access to spy on Americans. Tiktok denied any misconduct.
Sen. Tom Cotton (R-Ark.), chairing the Senate Intel Committee, has expressed concern about promoting a full sale by China and maintaining the clause.
However, the sale of Tiktok must be approved by the Chinese government, and some reports suggest that Baitedan could maintain a minority stake in Tiktok even after potential transactions.
Earlier this week, Trump told reporters that his team will announce the terms of the Tiktok contract before the Saturday deadline.
“We have a lot of potential buyers. We have a lot of interest in Tiktok,” Trump told reporters late Sunday. According to Reuters. “This decision will be my decision, as you know, through Congress. They have given me the power to make decisions.”
“I want to see Tiktok live on,” Trump added.
