Toronto-based cleantech startup Basetwo has raised $16.5 million CAD ($11.5 million USD) in a Series A funding round to further develop its AI-driven platform designed to enhance manufacturing efficiency.
The round was led by Axa Venture Partners (AVP), with participation from Glasswing Ventures, Deloitte Ventures, Global Brain Ventures, Shimadzu Corporation, Chiyoda Corporation, and angel investors from the UAE.
Revolutionizing Manufacturing with AI
Basetwo’s cloud-based platform acts as an AI copilot for manufacturing engineers, helping them optimize complex production processes in industries such as pharmaceuticals, consumer goods, and gas processing. By integrating physics and chemistry principles with AI-driven analytics, the platform provides real-time insights to reduce costs, energy consumption, and production inefficiencies.
CEO and co-founder Thouheed Abdul Gaffoor explained:
“Traditional AI models struggle to address manufacturing challenges because they lack a deep understanding of physics and chemistry. Basetwo bridges this gap by combining AI with engineering fundamentals to solve real-world production issues.”
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Strategic Investment and Market Growth
With this latest funding, Basetwo has raised a total of $17.5 million USD, following its seed round in 2022 led by Glasswing Ventures and Argon Ventures. The company plans to use the fresh capital to:
- Expand its AI capabilities with the introduction of AutoPilot, an autonomous control feature for optimizing plant operations.
- Grow its team across product, engineering, and sales in key locations, including Toronto, Vancouver, and Calgary.
- Triple its revenue within the next year as it scales operations across North America, Europe, the UAE, and Japan.
Addressing Industry Challenges
Manufacturing companies are increasingly turning to AI to tackle global supply chain disruptions and labor shortages. According to a recent Deloitte report, the pharmaceutical and biopharma sectors, in particular, are exploring AI solutions to improve research and development efficiency amid high failure rates for new drug candidates.
Basetwo’s platform offers solutions to these challenges by:
- Optimizing reactor temperatures and mixing speeds for pharmaceutical production.
- Reducing energy usage and material costs through data-driven decision-making.
- Improving quality control and manufacturing cycle times.
Looking Ahead
Basetwo, founded by brothers Thouheed, Thamjeeth, and Tawfeeq Abdul Gaffoor, along with Head of Pharma & Chemicals Kiefer Eaton, is poised to become a leader in AI-powered manufacturing optimization.
The company’s headquarters are in Toronto, with additional offices in the US and UAE. With continued growth and investor confidence, Basetwo aims to drive greater efficiency and sustainability in large-scale manufacturing worldwide..
