Indian specialty chemicals startup Scimplify has raised $25 million in an all-equity strategic funding round as manufacturers increasingly seek to reduce their dependence on Chinese suppliers. The Bengaluru-based company plans to expand its AI-powered chemical manufacturing operations, with semiconductors, defense and energy emerging as key growth markets.
The funding round was led by Hitachi Ventures, with existing customers Henkel and Teknor Apex joining as new investors. Existing investors Accel India, Bertelsmann India Investments, Omnivore and 3one4 Capital also participated in the round.
The latest investment brings Scimplify’s total equity funding to $80 million, according to the company. A person familiar with the transaction said the funding values the startup at $250 million, up from $150 million following its $40 million Series B round in March 2025. Scimplify declined to disclose its latest valuation.
Using AI to Accelerate Chemical Manufacturing
Advances in artificial intelligence and computational tools are helping researchers discover new materials and accelerate chemical research. However, turning laboratory discoveries into commercially available products remains a complicated and time-consuming process.
Manufacturers must develop production processes, qualify manufacturing facilities and meet strict quality and regulatory requirements before bringing specialty chemicals to market. Supply chains concentrated in a limited number of countries add further challenges, particularly for industries seeking more diversified and resilient sources of critical materials.
Founded in 2023, Scimplify aims to address these challenges by combining AI-powered software, chemical research and a network of manufacturing partners to accelerate the transition from product requirements to commercial production.
According to co-founder Sachin Santhosh, the company has completed some customer orders in as little as two months, compared with the typical 12 to 18 months required for similar projects.
How Scimplify's AI Platform Works
When Scimplify receives an order, its team develops chemical manufacturing processes at research facilities in Bengaluru and Hyderabad. Once the processes are ready, the company transfers them to partner factories for large-scale commercial production.
The startup coordinates this process through its proprietary AI platform, Scinode. The system helps identify suitable chemical production methods and manufacturing facilities while tracking quality standards and regulatory requirements.
Scinode uses specialized AI agents to handle different parts of the workflow, including research, manufacturing and quality control. These agents work backward from a customer's requirements to identify the most suitable production approach, Santhosh explained in an interview with TechCrunch.
The system is also designed to retain customer context, allowing the company to use relevant information from previous projects to improve coordination and speed up future orders.
“Each of these agents is basically solving for what [a customer] would want, working backward from the customer’s requirement,” Santhosh said. “This helps us move a lot faster and remember customer context even for future references.”
Targeting Semiconductors, Defense and Energy
Scimplify's expansion comes as manufacturers across multiple industries seek greater control over critical material supplies. Semiconductors, defense and energy are becoming important markets as countries and companies look to strengthen domestic manufacturing capabilities and diversify supply chains.
Specialty chemicals and advanced materials are essential to a wide range of industrial applications, including electronics, energy technologies and defense equipment. Reliable access to these materials can be particularly important for industries that depend on strict quality standards and specialized production capabilities.
By combining chemical expertise, AI-driven coordination and partner manufacturing facilities, Scimplify is positioning itself to serve companies that need specialized materials without managing every stage of the manufacturing process themselves.
The new funding will support the company's expansion as it pursues opportunities in these sectors. Its approach reflects a broader effort to use AI not only to accelerate research and development but also to solve the practical challenges involved in manufacturing products at commercial scale.
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