TIAN RUIXIANG Acquires Ucare for $150 Million to Boost AI-Driven Health Insurance in China

TIAN RUIXIANG Holdings Ltd. Acquires Ucare Inc. in $150 Million All-Share Deal

TIAN RUIXIANG Holdings Ltd. (TIRX), a China-based insurance broker, announced on Friday its plan to acquire Ucare Inc. in an all-share transaction valued at $150 million. This move is set to expand TIRX’s presence in China’s growing health insurance market.

Ucare operates the country’s only cloud-based, AI-driven hospital and insurance risk management platform. The platform uses a vast hospital database to help healthcare providers and insurers reduce fraud, cut administrative expenses, and improve clinical accuracy.

Details of the Acquisition

As part of the deal, TIRX’s subsidiary VitaCare Limited will issue over 101 million Class A shares to Ucare’s shareholders. The transaction is expected to finalize by July 2025. Following completion, Ucare will become a wholly owned unit of VitaCare.

• Ucare currently serves more than 4,000 hospitals across China.
• The platform has reportedly saved nearly $7 billion in healthcare costs as of late 2024.
• In its latest fiscal year, Ucare posted $5.4 million in revenue and $0.6 million in profit.

Part of the share issuance depends on Ucare achieving a revenue target of 150 million Chinese Yuan (around $20.82 million) within three years.

Leadership Perspectives

CEO Wei Zhu highlighted that the partnership will deepen the integration of generative AI into clinical pathways and insurance tools. TIRX Chairwoman Sheng Xu noted that Ucare’s data platform will help diversify TIRX’s revenue streams and enhance product development.

Industry Context

This acquisition reflects ongoing reforms in China’s health insurance system and a wider trend of adopting AI-powered solutions that combine insurance with care delivery. For insurance professionals, this signals increasing reliance on data-driven tools to optimize risk management and operational efficiency.

For those interested in how AI is shaping insurance and healthcare, exploring relevant AI tools for risk management could offer practical insights.