Executives restrained from leaving China as government reviews $2B acquisition by Meta
Authorities in Beijing have prohibited two highly ranked executives from leaving China amid a review of the acquisition of a Singapore-based AI company.
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Authorities in Beijing have prohibited two highly ranked executives from leaving China amid a review of the acquisition of a Singapore-based AI company.
- Two executives from AI startup Manus are barred from leaving China while Beijing investigates Meta's $2 billion acquisition.
- The CEO and Chief Scientist were questioned about potential violations of Chinese investment rules during the deal negotiations.
- Meta insists the transaction complied with all applicable laws and expects the inquiry to be resolved.
Key Takeaways by nexos.ai, reviewed by Cybernews staff.
The Chinese government is looking into a recent acquisition by Meta, in which the tech company allegedly paid $2 billion to acquire the AI firm, Manus.
According to the Financial Times, Xiao Hong and Ji Yichao, Manus’s CEO and Chief Scientist, respectively, were summoned to a meeting in Beijing with the National Development and Reform Commission (NDRC).
They were questioned about potentially violating China’s investment rules when they engaged in acquisition talks with Meta.
But as soon as Hong and Yichao left the meeting, they were told they couldn’t leave China due to regulatory review. However, they are free to roam the country if they wish.
Citing people with knowledge of the matter, the Financial Times says that Manus is actively seeking legal and consulting assistance to help resolve the matter.
“The transaction complied fully with applicable law. We anticipate an appropriate resolution to the inquiry,” a Meta spokesperson told the news outlet.
“The transaction complied fully with applicable law. We anticipate an appropriate resolution to the inquiry,” a Meta spokesperson told the news outlet. Manus and China’s embassy in Washington didn’t respond to a request for comment.
Manus and China’s embassy in Washington didn’t respond to a request for comment.
Manus is a start-up company that specializes in developing AI agents, the successors of AI chatbots that can perform more complex tasks for users, including analyzing large datasets, building apps, or installing and operating software.
In December 2025, Meta announced its intent to acquire Manus. According to the Washington Post, the move is an attempt to catch up with its competitors in GenAI.
In January 2026, the Chinese government announced it would investigate Meta’s acquisition.
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A spokesperson of China’s Ministry of Commerce said that all companies engaged in activities such as foreign investment, technology exports, data transfers abroad, and acquisitions must comply with Chinese laws and regulations.
“The ministry will work with relevant departments to conduct an assessment and investigation into the consistency of this acquisition with laws and regulations,” he stated, according to Reuters.
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