Chemical supply chain digitization draws investment

The chemical industry has been slow to go digital compared with the consumer goods sector, and one big reason is the complexity of the transactions. In the first week of October, a pair of start-ups raised funds for their ideas to make e-commerce easier for chemical firms. Mstack Chemicals secured $40 million in a series A funding round led by the private equity firms Lightspeed and Alpha Wave Incubation . Mstack’s platform connects small chemical manufacturers in low-cost regions such as Asia and the Middle East with buyers primarily in North America. Customers interact only with Mstack, through an Amazon-like web portal, while the start-up handles testing, compliance, and logistics. The company currently operates in four market segments: oil and gas, coatings, water treatment, and home and personal care. Mstack says it will use the investment to expand into agriculture and pharmaceuticals, boost its custom formulation services, and hire additional