Roadzen Announces Major Strategic Acquisition of AI-Powered Vehicle Repair Platform VehicleCare at CES 2026; Transaction Consideration Values Standalone India Business at ~$277 Million
- Definitive Agreement for acquisition of VehicleCare is expected to extend Roadzen's claims intelligence platform into on-ground repair execution, enabling end-to-end control over repair timelines, quality, and cost outcomes for insurers
- VehicleCare is expected to contribute approximately $10 million of revenue over the twelve months following closing
- Transaction consideration to be paid in stock at Roadzen's India subsidiary, valuing Roadzen India at approximately $277 million (₹2,495 crore, or ~$3.50 per share), representing an approximately 50% premium to Roadzen's current public market price, with no dilution to shareholders at the Nasdaq-listed parent.
LAS VEGAS, Jan. 06, 2026 (GLOBE NEWSWIRE) -- On the opening day of CES 2026, Roadzen Inc. (NASDAQ:RDZN) ("Roadzen" or the "Company"), a global AI company operating at the intersection of insurance and mobility, announced it has entered into a definitive agreement to acquire VehicleCare, an AI-powered vehicle repair and workshop aggregation platform.
The acquisition is expected to mark a significant milestone in Roadzen's evolution, positioning the Company to transform from a claims intelligence provider into a full-stack claims operating system that combines digital claims decisioning with physical repair execution. VehicleCare is a software-enabled automotive repair and claims execution platform built on a proprietary Workshop Management System ("WMS"). Rather than owning garages, VehicleCare aggregates and coordinates a national network of independent workshops through software, enabling scalable execution without asset ownership.
VehicleCare's platform capabilities:
- Connects vehicle owners, insurers, brokers, and workshops within a single end-to-end workflow
- Routes approved claims directly from insurers into repair execution
- Optimizes parts sourcing and labor allocation using AI
- Tracks repairs in real time with full transparency and auditability
- Delivers predictable turnaround times and consistent repair quality
VehicleCare's national network in India includes 350+ independent workshops across 21+ states, serving 15+ insurers, 15+ brokers, and 10+ fleet operators. To date, VehicleCare has executed over 40,000 claims, achieving over 30% reduction in loss cost versus OEM garages, while delivering faster-than-benchmark repair outcomes with reduced fraud and cost leakage.
This execution layer is expected to enable Roadzen to offer insurers repair timeline guarantees, a capability that has historically been difficult to deliver reliably at scale. VehicleCare is currently breakeven under GAAP accounting on a standalone basis and is expected to contribute approximately $10 million of revenue over the next twelve months, with additional potential upside driven by expected integration synergies.
The transaction has been structured as an equity issuance at Roadzen's India subsidiary level to VehicleCare's shareholders, including its founders. Roadzen India subsidiary shares to be issued as consideration are expected to be valued at approximately $277 million, resulting in approximately 2% dilution at the India subsidiary level. The transaction is not expected to result in any dilution at the Nasdaq-listed parent company level, with Roadzen's public parent expected to retain approximately 91.0% ownership of the India subsidiary once the transaction closes. The transaction is expected to close within approximately two weeks, subject to customary closing conditions.
Motor insurance claims globally face a persistent structural challenge: while insurers have digitized portions of claims processing, the physical execution of repairs remains fragmented, opaque, and difficult to control. Delays, inconsistent quality, inflated costs, and limited visibility during repairs continue to impact customer experience and loss ratios.
Roadzen operates at the claims intelligence layer, enabling insurers to assess damage, benchmark repair costs, detect fraud, and manage claims workflows using AI and data. VehicleCare operates at the repair execution layer, using software and AI to manage how vehicles are actually repaired on the ground. Together, Roadzen and VehicleCare are expected to offer insurers end-to-end ownership of the motor claims lifecycle — from digital decisioning to physical repair execution and outcome assurance — a differentiated capability that few platforms globally can deliver at scale.
Transaction Summary and Revenue Outlook:
- Structure: Equity issuance at the India subsidiary level; no dilution at the Nasdaq-listed parent
- India valuation: ~₹2,495 crore (~$277 million; ~$3.50 per share), representing a ~50% premium to prevailing public market price of Roadzen's public parent for the India business alone
- Ownership impact: ~2% dilution at the India subsidiary level; Roadzen's public parent expected to retain approximately 91.0% of the India subsidiary after this transaction
- Revenue and Profitability: Expected to add approximately $10 million in revenue over the next twelve months post-closing and integration, and is expected to be profitable under GAAP accounting rules.
"This combination feels like a natural next step for us," stated Arvind Verma, CEO of VehicleCare. "Roadzen's platform allows us to build AI far beyond repair execution — across complex and under-digitized areas such as parts cataloging, repair intelligence, fleet operations, and large-scale execution workflows. These are massive global markets that are extremely difficult to solve in isolation. Together, we are excited to build the most comprehensive repair execution platform in India and, over time, expand into Roadzen's global markets where scale and margins can be significantly higher."
Rohan Malhotra, Founder and CEO of Roadzen commented, "We have known Arvind, Amit, and Inderjit – the founders of VehicleCare as exceptional operators over the last three years building critical digital infrastructure in the vehicle repair ecosystem. They have built a high-quality platform with deep, ground-level understanding of workshops, repair cycles, parts sourcing, insurer coordination, and on-the-ground sales execution — capabilities that are structurally difficult to replicate. Importantly, this transaction values our India business at a meaningful premium to our parent company's current market price, and VehicleCare founders and investors are rolling their equity into Roadzen India, aligning themselves with the combined platform for the long-term. By bringing this execution layer into Roadzen, we are adding the final missing piece - transforming us into a full-stack claims infrastructure partner and advancing our ambition to become the global leader at the intersection of AI, insurance, and mobility."
About Roadzen Inc.
Roadzen Inc. (NASDAQ:RDZN) is a global leader in AI at the convergence of insurance and mobility. Roadzen builds technology that helps insurers, automakers, and fleets better predict and prevent risk, automate claims, and deliver seamless, embedded insurance experiences.
Thousands of clients — from the world's leading insurers, carmakers, and fleets to dealerships and agents — use Roadzen's technology to build new products, sell insurance, process claims, and improve road safety. Roadzen's pioneering work in telematics, generative AI, and computer vision has earned recognition from Forbes, Fortune, and Financial Express as one of the world's top AI innovators.
Headquartered in Burlingame, California, Roadzen employs more than 300 people across offices in the U.S., U.K., and India. Learn more at www.roadzen.ai.
The Company builds technology that helps insurers, automakers, and fleets predict and prevent risk, automate claims, and deliver seamless, embedded insurance experiences. Thousands of clients — from global insurers and automakers to small fleets and brokers — rely on Roadzen's technology across North America, Europe, and Asia.
About VehicleCare®
VehicleCare® is an AI-powered vehicle repair and service execution platform that digitizes damage assessment and repair workflows across a national network of independent workshops. Its software standardizes repair processes, optimizes parts and labor utilization, manages turnaround times, and provides real-time visibility into repair outcomes — enabling faster, more predictable, and cost-controlled repairs for insurers, fleets, OEMs, and consumers at scale.
Cautionary Statement Regarding Forward Looking Statements
This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). We have based these forward-looking statements on our current expectations and projections about future events. These forward-looking statements are subject to known and unknown risks, uncertainties and assumptions about us that may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by such forward-looking statements. In some cases, you can identify forward-looking statements by terminology such as "may," "should," "could," "would," "expect," "plan," "anticipate," "believe," "estimate," and "continue," or the negative of such terms or other similar expressions. Such statements include, but are not limited to, our ability to consummate the transaction described in this press release when anticipated, or at all, anticipated benefits and synergies of the transaction, including anticipated revenue, profitability and other operating results from the transaction described in this press release, anticipated benefits of our products and solutions and of the products and solutions of VehicleCare, business growth in the U.S., U.K. and India, anticipated strategy, demand for our products, expansion plans, future operations, future operating results, estimated revenues, losses, projected costs, prospects, plans and objectives of management, as well as all other statements other than statements of historical fact included in this press release. Factors that might cause or contribute to such a discrepancy include, but are not limited to, those described in "Risk Factors" in our Securities and Exchange Commission ("SEC") filings, including the annual report on Form 10-K we filed with the SEC on June 26, 2025. We urge you to consider these factors, risks and uncertainties carefully in evaluating the forward-looking statements contained in this press release. All subsequent written or oral forward-looking statements attributable to our company or persons acting on our behalf are expressly qualified in their entirety by these cautionary statements. The forward-looking statements included in this press release are made only as of the date of this release. Except as expressly required by applicable securities law, we disclaim any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
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