India’s Arzooo, once valued at $310M, sells in distressed deal

Arzooo, an Indian startup founded by former Flipkart executives that sought to bring “best of e-commerce” to physical stores, has sold its assets in distressed sale to Moksha Group.

The deal follows Arzooo engaging with several startups, including Bengaluru-headquartered Udaan, for potential merger opportunities, according to people familiar with the matter.

Arzooo had raised approximately $90 million from investors including SBI Investment, Trifecta, Tony Xu, and Celesta Capital, and climbed to a peak valuation of $310 million.

Neither Moksha nor the startup disclose financial terms of the deal.

Arzooo provided a digital bridge for India’s small electronics retailers to compete with e-commerce giants and large retail chains. The startup worked with major brands to secure bulk inventories at competitive prices and also provided last-mile delivery and working capital solutions.