Scimplify, an Indian startup that provides access to a range of specialty chemicals for pharmaceutical and agriculture companies, has secured $40 million in a new funding round co-led by Accel and Bertelsmann Investments, aiming to expand its presence in the U.S. and tap into new markets.

This Series B funding round values Scimplify at approximately $150 million post-money, according to the company.

The access to specialty chemicals remains a challenge for manufacturers across various industries, despite their importance. Historically, companies have relied heavily on Chinese suppliers for these chemicals, but increasing geopolitical tensions are prompting manufacturers to explore alternative sources in other regions. Furthermore, finding a specific chemical that meets particular reactor, chemistry, or compliance requirements, such as those set by the U.S. FDA or GMP, can be daunting for customers.

Scimplify addresses this issue through its platform, ATOMS, which catalogues specialty chemicals from over 5,000 factories operated by more than 200 manufacturers across 10 countries, including India, China, Vietnam, Egypt, and Japan. The startup primarily focuses on serving the pharmaceutical, agriculture, and industrial sectors.

To ensure quality and reliability, Scimplify vetting manufacturers, subjecting them to semi-annual third-party audits, and categorizes them based on geography, chemistry, capacity, and compliance. Additionally, the startup process-engineers existing chemicals to enhance their cost-effectiveness and relevance for various use cases.

According to co-founder Sachin Santhosh, Scimplify has successfully served over 600 customers across more than 16 countries worldwide.

Unlike traditional marketplaces, Scimplify offers the unique capability of providing made-to-order chemicals by collaborating with chemical producers. This allows customers to seamlessly switch between different recipes using its extensive manufacturer network, as highlighted by Santhosh.

Prior to founding Scimplify, Santhosh was involved with B2B startups Bizongo and OffBusiness, which focused on streamlining procurement and supply chain processes for businesses. His co-founders, Salil Srivastava and Dheeraj Dhingra, have a background in manufacturing supply chain management, having previously worked at Zetwerk.

The fresh funding will be utilized by Scimplify to scale its geographical presence, cater to new industry segments, and bolster its research and development efforts. With subsidiaries already established in Dubai and Indonesia, the startup is now planning to set up offices in the U.S. and Japan, and currently boasts a team of 150 people.

Santhosh revealed to TechCrunch that Scimplify is also exploring the acquisition of one or two chemical factories to unlock new customer bases and regulated markets.

The Series B funding round also saw participation from UMI, along with existing investors Omnivore and 3one4 Capital. Since its inception in 2023, Scimplify has raised a total of $54 million in funding.