Scimplify has raised $25 million to expand its AI powered approach to producing specialty chemicals and critical materials. The all equity strategic round was led by Hitachi Ventures, with customers Henkel and Teknor Apex joining as new investors.
Existing backers Accel India, Bertelsmann India Investments, Omnivore, and 3one4 Capital also participated. The round values the Bengaluru startup at $250 million, up from $150 million after its $40 million Series B in March 2025. Total equity funding now stands at $80 million.
Founded in 2023, Scimplify uses its proprietary AI platform Scinode to shorten the path from a customer’s chemical requirements to finished material. In some cases it has delivered in two months what typically takes 12 to 18 months.
Customers investing is the strongest signal
The most interesting names on the cap table are not the VCs. When Henkel and Teknor Apex put money in alongside Hitachi Ventures, they are voting with their procurement budgets, not just their balance sheets.
Scimplify already counts Japanese electronics manufacturer TDK, German chemicals group BASF, and Hitachi as customers. It develops manufacturing processes at research facilities in Bengaluru and Hyderabad, then transfers them to a network of more than 500 partner factories for commercial production.
“Each of these agents is basically solving for what a customer would want, working backward from the customer’s requirement. This helps us move a lot faster and remember customer context even for future references.”
Sachin Santhosh, Co-founder, Scimplify
The numbers behind the round
Scimplify serves more than 1,000 customers across 40 countries and has reached an annualized revenue run rate of about $200 million, triple what it was a year ago. It is targeting $400 million over the next year.
The United States has emerged as the growth engine. Its US revenue run rate rose sixfold to about $60 million from $10 million a year ago. Customers outside India now contribute more than half of revenue, compared with less than 5% about 18 months ago.
The startup has been EBITDA positive for the past two months and expects to turn profitable after tax this month. Energy, electronics, and defense now account for 45% to 50% of revenue, up from less than 15% a year ago, as AI demand and defense spending reshape materials markets.
What the money funds
About $7.5 million goes toward US expansion, including building out the manufacturing network there, with another $2 million earmarked for Scinode. The startup plans to extend its production network to the US and Japan over the next year. Around 90% of its manufacturing currently takes place in India.
The strategic direction is clear. Scimplify is working on tungsten derivatives from scrap and rare earth materials, two categories where global supply chains remain heavily dependent on China. For manufacturers racing to de-risk their sourcing, an Indian alternative with AI driven speed is a compelling pitch.
With 340 employees including roughly 70 scientists, and local teams in the US, Japan, Indonesia, and the UAE, Scimplify is no longer an early bet. This round prices it as a scale story.
