Bengaluru-based specialty chemicals startup Scimplify has successfully raised $25 million in a funding round led by Hitachi Ventures. According to reports from The Hindu BusinessLine, the round attracted strategic investors including Teknor Apex, Henkel, and a Japanese chemical company, alongside existing backers Accel, 3one4 Capital, Bertelsmann India Investments, and Omnivore. With this latest raise, Scimplify has secured approximately $80 million in total funding since its inception. The investment comes at a time when India's manufacturing ecosystem is seeing increased investment, driven by policy push and current geopolitical scenario.
The fresh capital will be utilized to expand research laboratories, deepen presence in US and Europe, and strengthen SciNode, the company's in-house artificial intelligence platform that supports chemical discovery to large-scale production. As reported by The Hindu BusinessLine, the company will deploy the capital to expand its technical and manufacturing capabilities, with a focus on rare earth and critical metals purification and processing, and semiconductor and battery chemicals. The investment will support research facilities staffed by scientists and process engineers, processing facilities, an expanded manufacturing partner network, and further development of SciNode for synthesis route prediction, factory production simulation, and coordinating R&D, quality, sourcing and regulatory workflows. According to Radhika Ananth, managing director of India at Hitachi Ventures, "Specialty chemicals demand has outgrown the models built to serve it. India has the manufacturing capacity, but much of it sits underused, without the science and quality systems global customers require."
According to Mint reports, Scimplify has demonstrated remarkable growth with revenue surging more than 11-fold from ₹18.3 crore in fiscal year 2024 (FY24) to ₹204.3 crore in FY25. However, losses widened from ₹1.9 crore in FY23-24 to ₹25.4 crore in FY24-25. As of July, the company's post-money valuation stood at $249 million, according to Tracxn data accessed via the ministry of corporate affairs platform. Rachit Parekh, partner at Accel, highlighted the company's growth, stating "In the 18 months since our initial investment, Scimplify has grown from serving 600+ customers across 16 countries to building a global platform with 1,000+ customers across 40+ countries."
The company is experiencing significant international growth, with overseas markets now contributing about 50% of revenue, up from 20% a year ago, while India accounts for the remaining 50%. According to Mint reports, Scimplify expects this international market share to rise to 70% by the end of next year. The fundraising comes as companies look to diversify their supply chains and demand for materials used in batteries, semiconductors and other high-tech industries rises. The company's current customer base includes Henkel, Coromandel, Dr Reddy's, Coherent, Holcim, BASF, Sanyo, Marubeni, TDK, and Mankind Pharma.
The fundraising occurs amid increased investor interest in India's manufacturing sector, with Venture Intelligence data showing manufacturing startup funding jumping from $164 million in 2020 to $1.92 billion in 2026. According to The Hindu BusinessLine, the company is seeing increased traction across energy and electronics supply chains, particularly in batteries and semiconductors, driven by the AI boom. Aerospace and defence, along with chemicals used in consumer products, are also emerging as key growth areas. Founded in 2023 by Sachin Santhosh, Salil Srivastava, Dheeraj Dhingra, and Hersh Manek, Scimplify operates R&D facilities in Bengaluru and Hyderabad, with its US expansion focusing on rare earth and critical metals processing through new processing facilities and partnerships with American manufacturers.
