STOCK TITAN

Rail Vision Successfully Completes Strategic Acquisition of Majority Stake in Cutting-Edge Quantum Computing Company for Transportation

Rhea-AI Impact
(High)
Rhea-AI Sentiment
(Neutral)

Rail Vision (Nasdaq: RVSN) on Jan. 14, 2026 completed its acquisition of a 51% ownership interest in Quantum Transportation, which holds an exclusive sublicense for rail technologies tied to a pending quantum error correction patent from Ramot (Tel Aviv University).

Rail Vision issued 2,982,710 ordinary shares (about 4.99% of pre-issuance share capital) to former Quantum Transportation shareholders and extended a convertible loan facility up to $700,000 at 8% annual interest to fund operations and development.

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Positive

  • 51% acquisition gives Rail Vision majority ownership and control
  • Issued 2,982,710 shares to complete the strategic share exchange
  • Committed up to $700,000 convertible loan at 8% to support development

Negative

  • Share issuance represented approximately 4.99% dilution to pre-issuance holders
  • Convertible loan exposure of up to $700,000 could dilute shareholders if converted

News Market Reaction

-8.70% 50.3x vol
28 alerts
-8.70% News Effect
+23.4% Peak Tracked
-26.2% Trough Tracked
-$2M Valuation Impact
$21M Market Cap
50.3x Rel. Volume

On the day this news was published, RVSN declined 8.70%, reflecting a notable negative market reaction. Argus tracked a peak move of +23.4% during that session. Argus tracked a trough of -26.2% from its starting point during tracking. Our momentum scanner triggered 28 alerts that day, indicating elevated trading interest and price volatility. This price movement removed approximately $2M from the company's valuation, bringing the market cap to $21M at that time. Trading volume was exceptionally heavy at 50.3x the daily average, suggesting significant selling pressure.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Ownership acquired: 51% Shares issued: 2,982,710 shares Equity dilution: 4.99% of share capital +5 more
8 metrics
Ownership acquired 51% Majority stake in Quantum Transportation
Shares issued 2,982,710 shares Consideration to former Quantum Transportation shareholders
Equity dilution 4.99% of share capital Portion of Rail Vision issued to complete acquisition
Convertible loan facility $700,000 Facility extended to Quantum Transportation upon closing
Loan interest rate 8% annually Interest on convertible loan to Quantum Transportation
Current share price $0.354 Pre-news trading level vs 52-week high of $1.70
52-week low $0.2734 Stock trading above low but well below high pre-announcement
Market cap $21,455,306 Equity value before impact of acquisition completion

Market Reality Check

Price: $0.3600 Vol: Volume 447,425 is about 0...
low vol
$0.3600 Last Close
Volume Volume 447,425 is about 0.5x the 20-day average of 891,557, suggesting muted pre-news interest. low
Technical Shares at $0.354 are trading below the 200-day MA ($0.39) and remain far under the $1.70 52-week high.

Peers on Argus

Peers show mixed moves: SWVL +9.36%, FSTR +2.74%, while RAIL -1.04%, GBX -1.49%,...

Peers show mixed moves: SWVL +9.36%, FSTR +2.74%, while RAIL -1.04%, GBX -1.49%, CVV -8.57%. With RVSN at -1.58%, the pattern does not indicate a unified sector trend.

Historical Context

5 past events · Latest: Jan 06 (Positive)
Pattern 5 events
Date Event Sentiment Move Catalyst
Jan 06 India POC demo Positive +8.8% Launch of Mainline POC in India for senior railway stakeholders.
Jan 02 CES tech showcase Positive +4.6% Israel Railways to showcase Rail Vision safety tech at CES 2026.
Dec 15 EU AI patent grant Positive -6.0% European patent granted for AI-based railway collision avoidance system.
Dec 12 Quantum AI deal detail Positive -0.9% Agreement terms to acquire 51% of Quantum Transportation via shares and loan.
Dec 01 Quantum acquisition pact Positive -1.9% Initial agreement to buy 51% of Quantum Transportation for quantum-AI synergies.
Pattern Detected

Recent news has often been positive, yet three of the last five items with upbeat strategic or IP developments saw negative 24-hour price reactions.

Recent Company History

Over the past months, Rail Vision highlighted several strategic and technology milestones. On Dec 1, 2025, it announced the Quantum Transportation acquisition agreement, followed by more detail on Dec 12, 2025, both with slightly negative next-day moves. A key European AI collision-avoidance patent on Dec 15, 2025 also saw a negative reaction. In contrast, the CES 2026 showcase on Jan 2, 2026 and an India Proof-of-Concept launch on Jan 6, 2026 produced positive moves, underscoring mixed trading responses to generally constructive news.

Market Pulse Summary

The stock moved -8.7% in the session following this news. A negative reaction despite strategic fram...
Analysis

The stock moved -8.7% in the session following this news. A negative reaction despite strategic framing would fit prior patterns, where the initial Quantum Transportation acquisition agreement on Dec 1, 2025 coincided with a -1.91% move. Completion of the deal adds a 51% subsidiary stake but also introduces new integration and execution risks, plus equity issuance of 2,982,710 shares. Traders may reassess dilution and capital allocation against the company’s small pre-deal market cap of $21,455,306.

Key Terms

quantum error correction, surface code errors, fault-tolerant quantum computing, convertible loan facility
4 terms
quantum error correction technical
"pending patent application in quantum error correction owned by Ramot"
Quantum error correction is a set of methods for detecting and fixing mistakes in quantum computers by encoding fragile quantum information across multiple physical parts, much like using multiple copies or checksums to protect a sensitive digital file. For investors, it matters because reliable error correction is a key technical milestone that determines whether quantum machines can scale from experimental devices to practical tools that could disrupt computing, encryption, drug discovery and other industries.
surface code errors technical
"real-time decoding of surface code errors, significantly reducing computational"
Surface code errors are faults or mistakes that occur when protecting quantum bits (qubits) using a widely used error‑correction method called the surface code. Think of it like small defects in a system of interlocking tiles that, if too many appear or persist, can let an underlying problem spread and break the whole machine. For investors, the frequency and severity of these errors determine how many extra qubits, engineering effort and time are needed to build reliable, scalable quantum computers, directly affecting development cost and commercial timelines.
fault-tolerant quantum computing technical
"supporting scalable fault-tolerant quantum computing."
Fault-tolerant quantum computing is the ability of a quantum computer to keep producing correct results even when its basic parts make mistakes, by detecting and fixing errors and using redundancy so the machine continues to work reliably. For investors, it matters because fault tolerance is the key to scaling quantum machines from experimental demos into practical, revenue-generating systems—think of it like having backups and automatic repairs that make a prototype road-ready and lower the technology’s commercial and technical risk.
convertible loan facility financial
"extended to Quantum Transportation a convertible loan facility of up to $700,000"
A convertible loan facility is a line of credit that a company can borrow from which the lender has the right to turn the outstanding loan into company shares instead of being repaid in cash. Think of it like borrowing money with an option for the lender to accept ownership stakes later; it matters to investors because it reduces immediate cash strain for the company but can dilute existing shareholders and change the company’s debt and ownership picture.

AI-generated analysis. Not financial advice.

Ra’anana, Israel, Jan. 14, 2026 (GLOBE NEWSWIRE) -- Rail Vision Ltd. (Nasdaq: RVSN) (“Rail Vision” or the “Company”), an early commercialization stage technology company seeking to revolutionize railway safety and the data-related market, today announced the completion of its previously announced strategic transaction to acquire a 51% ownership interest in Quantum Transportation Ltd. (“Quantum Transportation”).

Quantum Transportation holds an exclusive sub license, for rail technologies and platforms, for an innovative pending patent application in quantum error correction owned by Ramot, the technology transfer company of the Tel Aviv University. This IP and additional know-how addresses critical challenges in noisy intermediate-scale quantum devices by enabling efficient, real-time decoding of surface code errors, significantly reducing computational overhead compared to traditional methods and supporting scalable fault-tolerant quantum computing.

Through this transaction, Rail Vision and Quantum Transportation aim to combine quantum-AI based intellectual property (IP) protection and innovation with Rail Vision’s advanced vision and railway-safety technologies. This strategic combination is expected to create meaningful technological synergies, enhance Rail Vision’s current and future product lines, accelerate innovation, and support long-term value creation for stakeholders.
Pursuant to the acquisition agreement announced on December 1, 2025, Rail Vision has completed the share exchange transaction, through which it acquired 51% of the issued and outstanding share capital of Quantum Transportation, thereby obtaining majority ownership and control.

In connection with the closing, Rail Vision issued an aggregate of 2,982,710 ordinary shares, representing approximately 4.99% of the Company’s issued and outstanding share capital as of the date of signing the acquisition agreement and prior to such issuance, to certain former shareholders of Quantum Transportation, in exchange for their full holdings, representing 51% ownership of Quantum Transportation. Following the closing, Quantum Transportation became a majority-owned subsidiary of Rail Vision.

Additionally, upon closing of the acquisition, Rail Vision also extended to Quantum Transportation a convertible loan facility of up to $700,000, bearing interest at an annual rate of 8%, to be disbursed in tranches to support Quantum Transportation’s operations and development roadmap. The loan is subject to the terms set forth in the acquisition agreement.

About Rail Vision Ltd.

Rail Vision is a development stage technology company that is seeking to revolutionize railway safety and the data-related market. The company has developed cutting edge, artificial intelligence based, industry-leading technology specifically designed for railways. The company has developed its railway detection and systems to save lives, increase efficiency, and dramatically reduce expenses for the railway operators. Rail Vision believes that its technology will significantly increase railway safety around the world, while creating significant benefits and adding value to everyone who relies on the train ecosystem: from passengers using trains for transportation to companies that use railways to deliver goods and services. In addition, the company believes that its technology has the potential to advance the revolutionary concept of autonomous trains into a practical reality. For more information, please visit https://www.railvision.io/

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act and other securities laws. Words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates” and similar expressions or variations of such words are intended to identify forward-looking statements. Such expectations, beliefs and projections are expressed in good faith. For example, Rail Vision is using forward-looking statements when it discusses how Rail Vision and Quantum Transportation aim to combine quantum-AI based intellectual property protection and innovation with Rail Vision’s advanced vision and railway-safety technologies and how the strategic combination is expected to create meaningful technological synergies, enhance Rail Vision’s current and future product lines, accelerate innovation, and support long-term value creation for stakeholders. However, there can be no assurance that management’s expectations, beliefs and projections will be achieved, and actual results may differ materially from what is expressed in or indicated by the forward-looking statements. Forward-looking statements are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in the forward-looking statements. For a more detailed description of the risks and uncertainties affecting the Company, reference is made to the Company’s reports filed from time to time with the Securities and Exchange Commission (“SEC”), including, but not limited to, the risks detailed in the Company’s annual report on Form 20-F filed with the SEC on March 31, 2025. Forward-looking statements speak only as of the date the statements are made. The Company assumes no obligation to update forward-looking statements to reflect actual results, subsequent events or circumstances, changes in assumptions or changes in other factors affecting forward-looking information except to the extent required by applicable securities laws. If the Company does update one or more forward-looking statements, no inference should be drawn that the Company will make additional updates with respect thereto or with respect to other forward-looking statements. References and links to websites have been provided as a convenience, and the information contained on such websites is not incorporated by reference into this press release. Rail Vision is not responsible for the contents of third-party websites.

Contacts
David BenDavid
Chief Executive Officer
Rail Vision Ltd.
15 Ha'Tidhar St
Ra'anana, 4366517 Israel
Telephone: +972- 9-957-7706

Investor Relations:
Michal Efraty
investors@railvision.io


FAQ

What did Rail Vision (RVSN) acquire on January 14, 2026?

Rail Vision acquired a 51% ownership interest in Quantum Transportation, making it a majority-owned subsidiary.

How many shares did RVSN issue for the Quantum Transportation acquisition?

Rail Vision issued 2,982,710 ordinary shares, representing approximately 4.99% of pre-issuance share capital.

What financing did Rail Vision provide to Quantum Transportation after closing?

Rail Vision extended a convertible loan facility up to $700,000 bearing 8% annual interest, to be disbursed in tranches.

What IP did Quantum Transportation hold under sublicense?

Quantum Transportation holds an exclusive sublicense for rail technologies tied to a pending quantum error correction patent application from Ramot.

How might the acquisition affect Rail Vision's product roadmap and innovation?

The company said the combination aims to create technological synergies to enhance product lines, accelerate innovation, and support long-term value creation.
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