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Zhang Yiming, founder and former CEO of ByteDance, poses for a photo in Beijing in 2019. Photo: Bloomberg
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TikTok parent ByteDance’s billionaire founder Zhang Yiming sets up investment fund in Hong Kong

  • Cool River Venture, incorporated on Monday, will invest mostly in technology-related industries, according to sources
  • Zhang in 2021 stepped down as CEO and chairman of ByteDance, which is battling growing political headwinds in the US
ByteDance
Xinmei Shen
Xinmei Shen
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Zhang Yiming, the billionaire founder of TikTok’s parent ByteDance, has set up a private investment fund in Hong Kong, as he continues to stay out of the spotlight since relinquishing his corporate roles two years ago.

The personal fund, named Cool River Venture, will primarily invest in technology-related industries, according to people familiar with the matter, who declined to be named because the matter is private.

The vehicle was incorporated on May 22, the Hong Kong government’s companies registry showed.

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The new venture offers a rare glimpse into what Zhang has been up to since he stepped down as CEO and chairman of Beijing-based ByteDance, the world’s most valuable unicorn.

The 40-year-old Chinese entrepreneur spent most of last year overseas, based mostly out of Singapore, technology news outlet The Information reported in September. TikTok CEO Chew Shou Zi is also based in the Southeast Asian country.

Few people know of Zhang’s whereabouts and itinerary on any given day.

This month, the education bureau of Zhang’s home city of Longyan in southeast China’s Fujian province announced that he donated 200 million yuan (US$28.9 million) to an education fund he created with 500 million yuan in 2021.

The government statement used an old picture of Zhang dated two years ago.

A ByteDance building with the logo of Douyin, the Chinese counterpart of TikTok, in Beijing. Photo: EPA-EFE

Zhang has a net worth of US$42.3 billion, according to the latest Bloomberg Billionaires Index.

ByteDance, currently helmed by co-founder and Zhang’s university roommate Liang Rubo, still sees robust growth while battling mounting political pressure in the West.

The company’s revenue reportedly jumped over 30 per cent to surpass US$80 billion in 2022 on the back of strong advertising performance in mainland China, putting the firm on a par with rival Tencent Holdings, which raked in around US$80 billion last year.

ByteDance’s flagship product TikTok, however, faces increasing political troubles in the US, where it has more than 100 million users.

The TikTok logo is displayed outside the company’s offices in Culver City, California. Photo: AFP via Getty Images/TNS
In April, Montana became the first US state to pass legislation that would make it illegal to offer TikTok for download, to protect the personal data of citizens from “being harvested by the Chinese Communist Party”.
TikTok CEO Chew has called the move “unconstitutional”. The company on Monday filed a lawsuit against the ban.
The Biden administration in February asked all federal agencies to remove the app from government devices over data privacy concerns. More than 30 state governments have taken similar measures.
The uncertainties have led to declining valuations of ByteDance, which has put plans for a public listing on the back burner.
In March, an investment by Abu Dhabi-based artificial intelligence firm G42 valued ByteDance at around US$220 billion, according to a Bloomberg News report, down from a peak valuation of US$400 billion in 2021.
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