PALO ALTO — Science Exchange announced it has raised $28 million in Series C funding. Norwest Venture Partners led the latest round with participation from existing investors Union Square Ventures, Maverick Capital, and Collaborative Fund.
Founded in response to the global growth in outsourced R&D services, the company has raised more than $58 million since its inception in 2011.
“In the last decade, outsourcing of R&D has become a core strategy for improving efficiency and providing access to innovation for top companies globally. Forty percent of R&D spend is now outsourced and this trend continues to grow,” explained Science Exchange CEO Elizabeth Iorns, Ph.D., a research scientist who co-founded the company. “At the same time, businesses are challenged to manage their outsourced R&D. They need to track progress and provider performance across what could be hundreds of service provider relationships, impacting the cost, quality and timeliness of research projects. The Science Exchange platform solves this by removing barriers in the outsourcing process — providing companies with instant access to a network of pre-qualified service providers, as well as contracting, project management and reporting tools.”
“Science Exchange has developed an outsourcing platform that is enjoying tremendous momentum as many of the world’s largest pharma and biotech companies have signed up,” said Casper de Clercq, General Partner at Norwest. “They are well-positioned as the leader in a large and expanding market. We are excited to help Science Exchange become the world’s largest platform for outsourced R&D.”
“We’re thrilled to be partnering with such prestigious investors to help us grow our business at such a critical time in the evolution of R&D outsourcing,” commented Iorns. “This investor confidence confirms our business strategy and potential for continued growth.”
Through the Science Exchange platform, researchers have easy and secure access to more than 2,500 of the world’s premier outsourced R&D service providers — qualified contract research organizations (CROs), contract manufacturers (CMOs), academic labs, and government facilities. Thousands of scientists have used the platform to support their pursuit of breakthrough scientific discoveries, including those from 10 of the top 20 biopharma companies. In fact, the company has grown its enterprise-wide strategic sourcing agreements with leading pharmaceutical companies by more than 2,000 percent since 2015.
Science Exchange plans to use the funding to continue its expansion beyond biopharma into other industries where scientists are faced with R&D outsourcing challenges — including agrosciences, cosmetics, aerospace and industrial chemicals. The company will strategically hire across product, engineering, sales, marketing, and customer success.