Ex Flipkart Executives Founded Retail Tech Startup Arzooo Raises $70 Mn

Arzooo selling its assets to Moksha Group

SUMMARY

Existing investors including Celesta Capital and 3 Lines VC and new investor – Doordash’s founder Tony Xu also participated in the round

Arzooo will deploy funds to develop its tech infrastructure and expand business

Adding the current investment, Arzoo has raised $83.5 Mn to date

B2B retail tech startup Arzooo has raised $70 Mn in its Series B funding round from Japan-based SBI Investment and Trifecta Leaders Fund.

Existing investors including Celesta Capital and 3 Lines VC and new investor – Doordash’s founder Tony Xu also participated in the round.

Arzooo will deploy funds to develop its tech infrastructure and expand business.

With the current investment, Arzoo has raised $83.5 Mn to date.

Commenting on the fundraising, Khushnud Khan, cofounder and CEO of Arzooo, said, “We are pleased to welcome a new set of investors to the Arzooo rocketship with this round that was oversubscribed by 1.4x. While we truly appreciate the interest from the investor community, we’re really glad to get onboard some amazing set of people with a shared vision to transform offline retail joining the board.”

Founded in 2018 by former Flipkart executives Khushnud Khan and Rishi Raj Rathore, the Bengaluru-based startup runs a retail technology platform that helps retailers to make their online business efficient and also, increase sales. It facilitates retailers in accessing a wide variety of SKUs (stock-keeping units) across leading and emerging brands.

Arzooo helps physical retailers compete and grow against ecommerce giants such as Amazon and Flipkart in the online retail segment. It provides retailers a wide inventory selection along with financial solutions and delivery services.

Aarzoo has helped over 30K offline retailers, which are operating in 22 states of India, to grow their online businesses in the ecommerce segment, according to the startup.

In February 2021, Arzooo secured $6 Mn in debt funding and prior to that, raised $7.5 Mn in its Series A funding round.

It counts Trifecta Capital, Celesta Capital, 3 Lines VC, and Zoom’s Eric Yuan, Silicon Valley’s VC Bill Tai, UAE-based Jabbar Internet Group and WRVI Capital as its investors.

In the retail tech segment, it competes with startups such as DotPe, SignCatch, and Delivery acquired-Primaseller.

According to a report, India’s retail and ecommerce segment is poised to grow 3x by 2024. On the other hand, the country’s unorganised retail segment will grow by 40% in the next two years.