Manus raises over $500 million after reversing Meta acquisition imposed by Beijing
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AI startup Manus announced a new funding round of over $500 million on Thursday (8), after reversing its acquisition by Meta, which was imposed by Chinese authorities. The funding was led by Boyu Capital and IDG Capital, with participation from existing investors including Tencent, HSG (formerly Sequoia China), and ZhenFund.
This marks the first time Manus has raised funds since the Meta acquisition was annulled. The original deal, announced in December 2025, was valued at over $2 billion. After Beijing intervened in April, banning the transaction and requiring the companies to separate, Meta blocked Manus’ access to internal data in June, according to Bloomberg. Founders and investors bought back the company, and Butterfly Effect, Manus’ parent company, confirmed the resumption of independent operations in September.
How the acquisition was reversed
Manus, originally developed in China, moved its headquarters to Singapore before being sold to Mark Zuckerberg’s group. However, this move did not prevent the Chinese government from taking action. In April, amid tighter regulations on foreign investment in local technology, Beijing imposed the cancellation of the deal. The dissolution involved operations already in the process of integration and the suspension of joint projects using the startup’s tools.
What Manus does
The company develops AI agents capable of performing tasks such as research and automation, reducing the need for human intervention at every stage. Instead of providing just a text response, the system receives a goal and uses available tools to complete the task. In September, the company launched Cue, a standalone app that allows users to create personal agents for tasks like making calls and booking restaurants, according to AFP.
New features and valuation remain unknown
Butterfly Effect did not disclose Manus’ new valuation or how the funds will be used. Previous reports suggested a possible valuation of around $4 billion, but this was not confirmed in the announcement. The amount raised now is separate from the price paid by Meta in the acquisition that was later reversed.
Frequently Asked Questions
How much did Manus raise? Over $500 million, according to a statement from parent company Butterfly Effect reproduced by Reuters.
Who invested in the round? Boyu Capital and IDG Capital led the investment, with participation from Tencent, HSG, and ZhenFund.
Does Manus still belong to Meta? No. The company regained its autonomy after the acquisition was annulled by order of Chinese authorities.
What is Manus’ current valuation? It has not been disclosed. Previous estimates suggested around $4 billion, but this has not been confirmed.
