Scimplify raises $25 million to scale AI materials production

Scimplify's raise comes as manufacturers seek alternatives to supply chains concentrated in China. The Bengaluru-based startup, founded in 2023, has built a network of more than 500 partner manufacturing facilities and uses its AI platform, Scinode, to coordinate production routes, quality checks and regulatory steps. That model appears to be translating into rapid commercial traction: the company's annualized revenue run rate has tripled to about $200 million in a year, and its U.S. business has grown sixfold to roughly $60 million.

The funding round, led by Hitachi Ventures with participation from customers Henkel and Teknor Apex, values Scimplify at $250 million after the investment, up from $150 million after a $40 million Series B in March 2025. The company says it has been EBITDA-positive for the past two months and expects to turn profitable after tax this month. It plans to use about $7.5 million of the new capital for U.S. expansion and $2 million to further develop Scinode.

Scimplify's focus on tungsten derivatives from scrap and rare earth materials targets categories where global supply chains remain heavily dependent on China. Energy, electronics and defense now account for about 45% to 50% of its revenue, up from less than 15% a year ago, a shift that suggests demand is being driven by AI-related electronics and energy infrastructure as well as ongoing wars.