Shares of Blackstone Group LP (BX) experienced a significant after-hours plunge of 5.20% on Wednesday, as investors reacted to news surrounding the ongoing TikTok deal negotiations and potential competition from e-commerce giant Amazon.

The private-equity firm has been in the running as a potential U.S. investor in TikTok's American operations, alongside software giant Oracle. However, recent reports indicate that Amazon.com Inc. has also joined the bidding war, intensifying competition for the Chinese-owned social media platform's U.S. assets. This unexpected development may have contributed to the downward pressure on Blackstone's stock price.

Adding to the uncertainty, President Donald Trump is expected to meet with aides to discuss the TikTok investment deal as a crucial deadline approaches. With the White House's 75-day reprieve set to expire on Saturday, there are speculations about a possible extension to allow more time for finalizing the deal structure. The complex nature of the negotiations, coupled with concerns about liability provisions in the 2024 Protecting Americans from Foreign Adversary Controlled Applications Act, may be causing investor apprehension and contributing to Blackstone's stock decline.