Manus Co-Founders Plan $1B Fundraise to Reclaim AI Startup From Meta

Table of Contents In late December, Meta completed its acquisition of Singapore-registered Manus, investing over $2 billion to bolster artificial intelligence functions throughout its suite of platforms. MANUS MAY RAISE $1B TO BUY ITSELF BACK FROM META Bloomberg reports Manus founders are exploring a raise of about $1B to help unwind Meta’s $2B acquisition. The agentic AI startup could be restructured as a Chinese joint venture before a possible Hong Kong IPO. The proposed… pic.twitter.com/iMFREwtrIM — Wall St Engine (@wallstengine) May 21, 2026 Beijing initiated an investigation soon afterward, examining potential violations of investment regulations. Chinese authorities additionally imposed travel restrictions on two of Manus’s three co-founders. The Chinese government mandated Meta reverse the transaction last month. This directive arrived amid Beijing’s heightened examination of American capital flowing into Chinese technology enterprises. The founding team is now developing a strategy to meet regulatory requirements. The founding trio of Xiao Hong, Ji Yichao, and Zhang Tao are engaged in conversations about securing approximately $1 billion from external capital sources, Bloomberg reported, referencing individuals with knowledge of the discussions. The capital raise would establish a company valuation no lower than Meta’s original purchase price. The founders are prepared to inject personal funds to bridge any financing gaps. Reuters could not independently confirm Bloomberg’s reporting. Manus has not responded to inquiries seeking comment. Manus develops versatile AI agents engineered to function as virtual workforce members. These intelligent systems execute tasks including research operations and process automation with minimal human oversight. While officially based in Singapore, the company maintains significant Chinese connections. Meta’s purchase attracted Beijing’s scrutiny due to the strategic nature of Manus‘s artificial intelligence capabilities. Should the reacquisition materialize, Manus could transform into a Chinese partnership entity with its new financial backers. Bloomberg sources indicated that a Hong Kong stock exchange listing could subsequently emerge. This would represent a dramatic transformation for the enterprise, transitioning from American control back to a China-associated ownership framework. Meta has remained silent regarding the buyback negotiations. The technology giant originally acquired Manus to enhance artificial intelligence capabilities throughout its product ecosystem. The circumstances underscore escalating U.S.-China friction surrounding technology sector investments. Chinese regulators have intensified monitoring of international transactions involving sophisticated AI companies. No definitive schedule has been established for the capital raise or any prospective public offering. According to Bloomberg’s sources, negotiations remain preliminary. Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.