This Popular Facebook Competitor Seeks $4B-$5B In Bank Loan For Expansion

SoftBank Group Corp (OTC:SFTBY) (OTC:SFTBF) backed ByteDance Ltd is seeking $4 billion - $5 billion in the bank loan to repay debt, replenish its cash reserves for daily operations, and overseas expansion, Reuters reports as per The Information website.
The TikTok parent aims to capitalize on the low rate interest environment to raise additional capital, Bloomberg reports.
Beijing’s tech sector clampdown spanning social media and gaming to internet platforms has cast doubts over its much-anticipated IPO. ByteDance was aiming for a 2022 IPO amid the tech crackdown.
In 2019, ByteDance secured a loan of $1.3 billion, which will mature in April 2022.
Meanwhile, Facebook Inc (NASDAQ:FB) continues to explore options in the U.S. to snatch user time from the growingly popular TikTok. Other unassuming players like Reddit and Microsoft Corp (NASDAQ:MSFT) have succumbed to the TikTok fever.
Price Action: SFTBY shares closed higher by 3.5% at $32.40 on Wednesday.