A Chinese artificial intelligence startup named Manus, which previously tried to merge with Meta (the parent company of Facebook and Instagram), is now in talks to raise $500 million at a $4 billion valuation. This comes after the company has resumed independent operations, according to The Wall Street Journal, citing unnamed sources. Potential investors in the funding round include IDG Capital, Boyu Capital, Contemporary Amperex Technology (CATL), as well as existing investors Tencent, HSG, and Zhenfund. The startup is also reportedly exploring a restructuring plan to prepare for an initial public offering (IPO) in Hong Kong. Manus first gained attention in late 2023 after showcasing a demo of its AI agent, which can perform tasks such as coding, content creation, and data analysis. In mid-2025, the company moved its staff to Singapore before announcing a $2 billion acquisition deal with Meta later that year. At the time, Manus was reportedly generating over $100 million in annual recurring revenue. However, the deal was blocked by Chinese authorities, who were concerned about losing AI talent and researchers to foreign companies. The government cited potential violations of export control regulations and foreign investment laws as reasons for the block. Since the failed merger, Manus has been working to separate itself from Meta. Early investors and backers reportedly helped the company buy back its shares at a valuation of around $2 billion. As part of this separation, the company informed its users in August that they would need to export and back up their own data, as Manus had to delete data generated after Meta's acquisition to comply with regulatory requirements in certain regions. This month, the company confirmed that it has fully resumed independent operations, with its founding team continuing to lead the company. Manus develops AI products and tools similar to those offered by companies like OpenAI, Lovable, and Replit. Its platform includes a chatbot, tools for "vibe-coding" (a term used to describe creating code through natural language), and features that allow users to build apps, websites, create designs and presentations, generate videos, and use a browser assistant. The company did not immediately respond to requests for comment.