Microsoft is in talks with ShareChat, an Indian content-sharing platform, to invest about $100m, according to media sources on Friday, August 7. If the deal goes through, Microsoft’s investment will reach about a third of ShareChat’s target funding for the latest round of financing, anonymous sources said.
But other people familiar with the matter said ShareChat was likely to raise money from existing investors before striking a deal with new investors. Since negotiations are still in their early stages, the deal could take months to complete.
ShareChat last raised $100 million from Twitter, which values the start-up at $650 million.
Microsoft declined to comment on the news, while ShareChat did not respond.
The company also learned that Microsoft said on Sunday it aimed to acquire TikTok’s businesses in the US, Canada, Australia and New Zealand by September 15.
If Microsoft’s deal is not successful, Byte Dance could sell its Indian operations to “foreign investors or Indian buyers,” the report said.
Interestingly, ShareChat launched video-sharing service Moj a day after the Indian government banned the short-video app TikTok, while ByteDance’s other app, Helo, is a rival to ShareChat, another of the apps.