ByteDance plans to sell its securities business for approximately 500 million yuan ($77.39 million) to 1 billion yuan ($154.79 million).

Details: The company is pulling back financial-related businesses, the spokesperson said, confirming ByteDance's sale plan.

ByteDance has made it clear internally that it will no longer engage in the securities business in the future, Chinese news outlet LatePost said.

Known as “App Factory" in China, ByteDance started its layout for the brokerage track by rolling out Squirrel Securities in 2019. The service mainly focuses on online stock brokerage and wealth management business in Hong Kong.

Dolphin Stock, which features functions including intelligent tracking, high-speed market quotation, and business analysis, are included in the sale package. The securities investment and consulting licenses for running the business are also within the scope of the sale.

The TikTok owner reportedly held talks with brokerage companies including CICC, CITIC and Oriental Fortune on the potential sale in the first half.

Context: Analysts believe that the sale is an active adjustment for ByteDance to better cope with the tightening regulations in the Internet industry. The securities business, which belongs to its financial business department, accounts for a modest proportion of the company.