Roadzen secures $2.25 million in registered direct offering

NEW YORK - Roadzen Inc. (NASDAQ:RDZN), an AI technology company focused on insurance and mobility solutions, has agreed to sell 1,730,769 ordinary shares at $1.30 per share in a registered direct offering to an institutional investor, according to a press release statement issued Monday. The offering price represents a slight discount to the current market price of $1.53, with the stock showing strong momentum, having gained 43% in the past week.

The transaction is expected to generate approximately $2.25 million in gross proceeds before deducting placement agent fees and other offering expenses. Maxim Group LLC is serving as the sole placement agent for the offering.

The company anticipates the offering will close around July 29, 2025, subject to customary closing conditions.

The securities are being offered through a shelf registration statement on Form S-3 that was declared effective by the Securities and Exchange Commission in November 2024.

Roadzen, headquartered in Burlingame, California, develops AI technology used by insurers, carmakers, and fleets for insurance products, claims processing, and road safety applications. The company employs 308 people across offices in the U.S., U.K., and India.

The press release did not specify how the company plans to use the proceeds from the offering.

In other recent news, Roadzen Inc. has raised $2.25 million through a private placement of common stock, priced at a 20% premium to recent trading prices. The financing came from four of its largest existing shareholders, with the securities subject to a six-month holding period under regulatory rules. Roadzen has also announced a partnership with a major two-wheeler manufacturer to provide connected roadside assistance for electric vehicles in India, integrating its AI-powered platform into the vehicles. Additionally, its UK subsidiary, Global Insurance Management Limited, has teamed up with a leading UK car retailer to offer Guaranteed Asset Protection (GAP) insurance, enhancing the purchasing process for over 60,000 annual vehicle buyers.

Further developments include SHV Energy Pvt Ltd, known as Supergas, selecting Roadzen’s DrivebuddyAI platform to enhance fleet safety by monitoring driver risks and providing real-time feedback. Roadzen has also secured a patent in India for its Real-Time Driver Drowsiness Detection Algorithm, a technology that uses AI and computer vision to detect driver fatigue and issue alerts. This patent adds to Roadzen’s expanding international intellectual property portfolio, with applications underway in the United States and Europe.

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