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The only reason I think they would do this is because of espionage, so you want to remove the offices but keep the app. But there is no proof provided within the article.
Presumably the only espionage asset ByteDance has is the data it keeps on Canadian users. (Which probably includes information on arctic military installations, etc.)

TikTok is still going to collect that data, and it will be kept in China, far beyond Canada's reach. To remove concern over the data, I reckon you'd go about it backwards: Get rid of the app, which is up to no good. Keep the offices, so that they can be spied on or forced into transparency via the courts.

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