Hi Inov, HTGF & seed+speed Advance Covalo’s Chemical Data Platform in 2026

LONDON, April 2, 2026 — Covalo, a Switzerland-based startup co-founded by former Clariant executives Yann Chilvers and Timo von Bargen, has secured a €3.5 million seed extension led by Hi Inov, with continued backing from HTGF and seed+speed Ventures. The funding will propel Covalo’s evolution from a personal care ingredients marketplace into an industry-wide data backbone, addressing inefficiencies in product development cycles and compliance workflows.

Executive Summary

• Covalo raised €3.5M in a seed extension round led by Hi Inov, supported by HTGF and seed+speed Ventures.
• The company aims to transform the personal care sector by offering real-time data connectivity between suppliers and brands, streamlining compliance and product development.
• Covalo’s platform currently connects 1,500 suppliers with over 6,000 brands across 145+ countries.
• With 80% of personal care products set for reformulation by 2030, Covalo is poised to address critical industry challenges.

Key Developments

Founded to tackle inefficiencies in the personal care industry, Covalo targets a market where fragmented data on raw materials has slowed product development cycles, with nearly half of launches failing. The startup’s platform integrates with suppliers’ product information systems (PIMs) and brands’ product lifecycle management (PLM) tools, replacing error-prone manual workflows dominated by emails and spreadsheets. This real-time data flow ensures that updates—such as compliance certificates or the approval of new raw materials—are instantly visible to stakeholders.

Covalo now connects 1,500 suppliers, including global giants Givaudan and Symrise, with over 6,000 brands such as PUIG and La Prairie, reporting 84% engagement growth in 2025. The platform has achieved 1.3 million monthly interactions and a net revenue retention (NRR) rate of 145%, underscoring its traction within the personal care vertical. Strategic partnerships with TraceOne, Reed Exhibitions, and the B Corp Beauty Coalition further solidify Covalo’s position as an industry-neutral hub.

The new funding will be used to expand Covalo’s capabilities, including the development of artificial intelligence (AI) agents for automating requests for information (RFIs), compliance checks, and data enrichment. The company also plans to enhance its PIM and master data management (MDM) functionalities to further streamline operations.

Market Context

The personal care industry faces unprecedented pressure to innovate sustainably and comply with tightening regulations such as the EU Green Deal and microplastics bans. With 80% of products expected to be reformulated by 2030, the sector must contend with increasingly complex data requirements. Each skincare product, for example, typically relies on 35-40 raw materials, each accompanied by approximately 20 compliance and sustainability documents. This fragmented data landscape has stifled innovation and efficiency, creating an urgent need for solutions like Covalo’s platform.

Unlike broader chemical platforms such as UL Prospector or Knowde, Covalo’s focus on the personal care vertical has enabled it to achieve network effects with minimal marketing spend. The platform’s ability to provide real-time, structured data connectivity is a game-changer for R&D teams, which can now reduce their reliance on manual data wrangling and accelerate product development timelines.

BUSINESS 2.0 Analysis

Covalo’s funding round highlights a growing trend in industry-specific digital infrastructure aimed at solving niche problems. By focusing exclusively on the personal care sector, Covalo has differentiated itself from competitors that offer broader chemical data marketplaces. The company’s ability to connect suppliers and brands through a unified, real-time data platform addresses a critical pain point: the inefficiency of fragmented compliance and product development workflows.

Moreover, Covalo’s partnerships with industry players such as TraceOne and Reed Exhibitions position it as a neutral and trusted hub for data exchange. This neutrality is crucial in an industry where proprietary data often creates silos. The company’s 145% net revenue retention rate further underscores its value proposition, suggesting that existing customers are finding significant ROI in the platform’s capabilities.

However, Covalo’s journey is not without challenges. Scaling its AI-driven features and maintaining its industry-specific focus will require careful resource allocation. Additionally, the company will need to navigate competitive pressures from broader platforms like Knowde, which have significant venture backing. Nevertheless, Covalo’s traction and targeted approach make it a compelling player to watch in the coming years.

Why This Matters for Industry Stakeholders

For suppliers, Covalo offers a seamless way to disseminate compliance and product data to a global network of brands, reducing the administrative burden and speeding up time-to-market. Brands, on the other hand, gain a reliable, real-time source of data that integrates directly into their R&D and procurement systems, enabling faster and more informed decision-making.

Investors should note the broader implications of Covalo’s success. The personal care industry’s reliance on data-driven innovation is a microcosm of challenges faced by other sectors, such as pharmaceuticals and food & beverage. Covalo’s model could serve as a blueprint for digital transformation in these adjacent markets.

Forward Outlook

Looking ahead, Covalo’s focus on AI-driven automation and enhanced data management capabilities positions it well for future growth. As regulatory pressures continue to mount, the demand for platforms that simplify compliance and accelerate innovation will only increase. Covalo’s ability to maintain its industry-specific focus while scaling its operations will be key to its success.

However, the company will need to carefully navigate potential challenges such as competition from broader platforms and the complexities of scaling AI-driven solutions. With its strong customer base and strategic partnerships, Covalo is well-positioned to become the de facto data backbone for the personal care industry.

Key Takeaways

• Covalo raised €3.5M to expand its personal care industry data platform.
• The platform connects 1,500 suppliers with 6,000+ brands for real-time data sharing.
• AI-driven features will enhance compliance, RFI automation, and data enrichment.
• Strategic partnerships and high engagement rates underscore Covalo’s traction.

References

1. Source: TechFundingNews
2. Bloomberg
3. Financial Times
4. More Investments Coverage