The key facts
- Scimplify raised $25 million; valuation rose from $150 million to $250 million (per a source; the company did not disclose its valuation)
- The Scinode AI platform cuts the time from order to finished material to two months versus the typical 12–18 months
- Annual revenue ~$200 million; the US accounts for about 30% of the business; expansion into the US and Japan is planned
Funding round and valuation
Indian startup Scimplify from Bengaluru raised $25 million in an all-equity strategic round to expand its AI-driven approach to manufacturing specialty chemicals and critical materials. The round was led by Hitachi Ventures, with new investors being clients Henkel and Teknor Apex; existing shareholders Accel India, Bertelsmann India Investments, Omnivore and 3one4 Capital also participated. According to a person familiar with the deal, the company's post-investment valuation was $250 million, up from $150 million after the $40 million Series B round in March 2025. The startup itself declined to disclose its valuation. Total equity funding has reached $80 million.
How the company's model works
Scimplify, founded in 2023, develops chemical manufacturing processes at its own research centers in Bengaluru and Hyderabad, then hands them over to partner plants for commercial production. Its proprietary AI platform Scinode coordinates operations: it selects production routes and factories, tracks quality and regulatory requirements, using specialized AI agents for research, manufacturing and quality control. Co-founder Sachin Santhosh told TechCrunch that in some cases the company goes from a client's requirements to a finished material in two months, whereas this usually takes 12–18 months. The company's manufacturing network comprises more than 500 plants, overseen by about 340 employees, including roughly 70 scientists.
Metrics and markets
According to Santhosh, about 90% of Scimplify's production currently takes place in India, but over the next year the company plans to expand its network to the US and Japan. The company's annualized revenue reached about $200 million, tripling over the year; in the US it grew sixfold — from $10 million to roughly $60 million, which accounts for about 30% of the business. Clients outside India generate more than half of revenue, up from less than 5% about 18 months ago. Energy, electronics and defense contribute 45–50% of revenue, versus less than 15% a year earlier. The company serves more than 1,000 clients and has supplied products to more than 40 countries. According to Santhosh, Scimplify has been EBITDA-positive for the past two months and expects to reach after-tax profitability this month.
Reducing dependence on China and plans
Scimplify helps clients build alternative sources for materials whose supply is concentrated in China and a few other countries. The company is working on producing tungsten derivatives from scrap and rare-earth materials. Among its clients are Japanese electronics maker TDK, German chemical giant BASF and Hitachi. Of the funds raised, about $7.5 million is planned to be allocated to US expansion, including developing the manufacturing network, and another $2 million to further development of Scinode; Santhosh noted the allocation may change. The company's goal for next year is annual revenue of about $400 million.
