Butterfly Effect, the company behind the autonomous agent Manus, announced on October 8 that it has raised more than $500 million. TechCrunch and CNBC report that the round was co-led by Boyu Capital and IDG Capital, with existing investors including Tencent, HSG (formerly Sequoia China) and ZhenFund also participating. It is the company's first financing since Meta's roughly $2 billion acquisition was unwound.

The backdrop

Meta announced its purchase of Manus in December 2025. Chinese regulators ordered the deal reversed in April 2026 on national-security grounds, and Tencent, HSG and ZhenFund subsequently bought the shares back, as we reported in July. Manus has since resumed operating independently.

What we know about the round

The valuation has not been disclosed. TechCrunch reported in September that Manus was seeking a $500 million raise at a $4 billion valuation, but coverage of the completed round does not confirm that figure applies. Some outlets also report the company is weighing a Hong Kong listing, which is said to depend on a corporate restructuring; we have not seen that confirmed by the company.

Why it matters for agent buyers

For users, the practical question the deal answers is continuity: Manus is independent, funded at scale, and backed by a mix of Chinese investors rather than a US big-tech parent. That removes the uncertainty that hung over the product during the unwind. The announcement did not include new product features, pricing changes or usage figures, so there is nothing yet to change in how Manus should be evaluated on capability or value. We will revisit its listing if the company discloses product or pricing changes tied to the new capital.