#M&A

Tencent is in negotiations to acquire AI startup Manus from Meta, becoming its largest shareholder in a deal worth at least $2 billion, after Beijing requested Meta to unwind its previous acquisition. This deal would significantly strengthen Tencent's position in the AI agent space, while marking a setback for Meta's expansion in China. It reflects ongoing geopolitical tensions and strategic realignments in the AI industry. Tencent will partner with original investors ZhenFund and HSG to repurchase Manus from Meta at no less than $2 billion. The deal follows a Chinese government request for Meta to unwind its earlier $2 billion acquisition of Manus.