According to Bloomberg, the co-founders of Manus, a Chinese AI Agent company, are currently negotiating an external financing round worth roughly $1 billion. The funds aim to comply with Beijing’s regulatory requirements, enabling them to unwind Meta’s prior acquisition of Manus valued at over $2 billion. Sources familiar with the matter say that once this financing is secured, the founding team plans to repurchase the company at a valuation no lower than Meta’s original offer price. They also intend to bring in domestic Chinese investors to restructure ownership, with a potential IPO in Hong Kong down the line.
This reversal stems from China’s national security review process. Meta finalized its purchase of Manus about five months ago, only to face immediate intervention from Beijing authorities, who insisted that such cutting-edge AI technology remain under Chinese control. This case underscores the escalating tech rivalry between China and the U.S., as Beijing intensifies efforts to prevent key domestic AI assets from falling into the hands of American tech giants. Should it materialize, this would be one of the rare instances in recent years where a completed cross-border tech acquisition was compelled to be undone.