Indian startup Scimplify has closed a $25 million all-equity strategic round led by Hitachi Ventures. New investor participants include customers Henkel and Teknor Apex, while existing backers Accel India, Bertelsmann India Investments, Omnivore and 3one4 Capital also took part. A person familiar with the transaction said the Bengaluru-based company’s post-money valuation is about $250 million, up from $150 million after a $40 million Series B in March 2025.
Scimplify told reporters that the latest round brings its total equity funding to $80 million, though it did not publicly confirm the valuation.
What the company does and why it matters
Founded in 2023, Scimplify uses AI-driven methods to develop and industrialize specialty chemicals and other critical materials, with the explicit aim of diversifying supply chains and reducing dependence on China. While AI and computational tools have accelerated materials discovery, converting promising chemistry into commercial-scale products remains slow because manufacturers must develop production processes, qualify facilities and meet strict quality standards. Scimplify’s model seeks to shorten that timeline.
Co-founder Sachin Santhosh said in an interview that in some cases the company moved from receiving customer requirements to delivering a finished material in about two months, compared with the 12–18 months that such projects typically require.
Scinode platform and operational model
Scimplify develops chemical manufacturing processes at its R&D sites in Bengaluru and Hyderabad and then transfers those processes to partner factories for commercial production. Its proprietary AI platform, Scinode, helps identify suitable production routes and manufacturing sites while tracking quality and regulatory requirements. The platform uses specialized AI agents for research, manufacturing and quality control to work backward from customer requirements and retain context for future projects, Santhosh said.
An in-house team of scientists and engineers manages production across a network of more than 500 manufacturing facilities. Currently roughly 90% of Scimplify’s manufacturing occurs in India, but the company plans to extend its production network to the U.S. and Japan over the next year to attract more customers in those regions.
Financials and market traction
Scimplify said its U.S. annualized revenue run rate has risen sixfold over the past year, from about $10 million to roughly $60 million, making the U.S. about 30% of the company’s business. Customers outside India now account for more than half of Scimplify’s revenue, compared with under 5% about 18 months ago.
Overall, the startup reported an annualized revenue run rate of about $200 million, triple the level a year earlier, and is targeting a $400 million run rate over the next year. The company has been EBITDA-positive for the past two months and expects to be profitable after tax this month.
Energy, electronics and defense now represent roughly 45–50% of Scimplify’s revenue, up from less than 15% a year ago. The company links this shift to rising demand for materials used in electronics and energy infrastructure driven by AI, and to defense demand amid ongoing conflicts.
Products, customers and development focus
Scimplify is developing routes to produce tungsten derivatives from scrap, aiming to provide alternative sources for materials whose supply is heavily concentrated in China. It is also working on rare-earth materials for similar diversification purposes.
The startup lists customers including Japanese electronics maker TDK, German chemicals group BASF and Hitachi. Santhosh cited a TDK-related project as an example of how the company can shorten development and delivery timelines, while noting that schedules vary by project.
Use of proceeds and personnel
From the new funding, Scimplify plans to allocate about $7.5 million to U.S. expansion, including building out its manufacturing network, and about $2 million to further develop Scinode. The company employs roughly 340 people, including about 70 scientists. Most employees are based in India, and Scimplify also maintains local teams in the U.S., Japan, Indonesia and the UAE.
Overall, Scimplify aims to combine AI and a broad manufacturing partner network to accelerate time-to-market for critical materials and reduce global reliance on concentrated supply chains.
