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The VCs and record labels must be madly trying to get their investment back out of this. They poured money into musical.ly, bytedance and others, then have been
by mmastrac 6y ago
The VCs and record labels must be madly trying to get their investment back out of this. They poured money into musical.ly, bytedance and others, then have been riding the wave up (and now down).
In July they bought out at least one SPV for a crazy valuation to consolidate holdings, probably imagining that things would continue to rise. I think they'll be lucky to get 1/4 of the cash they spent on that back, though they've probably still 10X'd the cash they put in much earlier.
- deleted 6y ago[deleted]
- mythz 6y ago> The VCs and record labels must be madly trying to get their investment back out of this. TikTok are suing the US Administration so they're not forced to sell their US operations [1]. From what I can see TikTok have only had a recent 3B funding round on Softbank (after becoming popular at 75B valuation) and could only find 1x 100M funding round for musical.ly (at 500M valuation). Considering the expected sale price for the US part of their business is circa 50B, even SoftBank are likely to get many times return on their investment. Early investors must be due for an insane return. https://newsroom.tiktok.com/en-au/tiktok-files-lawsuit https://newsroom.tiktok.com/en-au/tiktok-files-lawsuit