# Manus Raises $500M After China Blocks Meta Deal

> China blocks Meta’s $2B acquisition of AI startup Manus, prompting $500M funding round.
- Title: Manus Raises $500M After China Blocks Meta Deal · Pymnts
- Summary: China blocks Meta’s $2B acquisition of AI startup Manus, prompting $500M funding round. China blocked Meta’s $2 billion acquisition of AI startup Manus…
- Keywords: manus, meta, china, funding, butterfly effect, boyu capital, idg capital, tencent, hsg, zhenfund, business, Raises
- Source: Pymnts — https://pymnts.com/news/investment-tracker/2026/manus-raises-500-million-after-china-blocks-metas-acquisition
- Author: PYMNTS
- Published: 2026-10-08T14:58:04+00:00
- Read time: 1 min
- Topics: manus, meta, china, funding, ai, butterfly effect, boyu capital, idg capital, tencent, hsg, zhenfund, business
## Manus Funding Round
Butterfly Effect, the parent company of AI startup Manus, raised $500 million in a funding round led by Boyu Capital and IDG Capital.
## China Blocks Meta Acquisition
China’s National Development and Reform Commission prohibited Meta’s $2 billion acquisition of Manus in April 2026, requiring withdrawal of the transaction.

> prohibit foreign investment in the Manus project
## Manus Returns to Independence
Manus announced it would resume independent operations with the founding team leading the company after separating from Meta.
## Data Compliance After Separation
Manus must delete user data generated after the acquisition to comply with regulatory requirements in certain regions.
## Key takeaway

China blocked Meta’s $2 billion acquisition of AI startup Manus, leading to a $500 million funding round led by Boyu Capital and IDG Capital.