TikTok owner ByteDance dissolves its investment arm

TikTok owner ByteDance has disbanded its investment department, a company spokesperson told CNBC on Wednesday.

Following an assessment at the beginning of the year, ByteDance decided to “strengthen the focus of the business, reduce investments with low connection (to the main business) and disperse employees from the strategic investment department to various lines of business,” the spokesperson said in a Chinese-language statement translated by CNBC.

The move “strengthens the coordination between strategic research and the business,” the company said.

The news comes as ByteDance is undergoing restructuring since its founder Zhang Yiming stepped down as chairman in the fall.

ByteDance is the world’s largest start-up valued at $140 billion, according to CB Insights.