Moksha Group acquires Arzooo assets in distress sell

Moksha Group, a Mumbai-based company which provides distribution, supply chain, and financial solutions, has acquired strategic assets from retail tech startup Arzooo.

According to sources, this is a distress sale, as Arzooo was on the verge of shutting down its operations. The company had also made headlines for laying off hundreds of employees and withholding their salaries.

The transaction details couldn’t be ascertained. Entrackr has reached out to Arzooo's founder for more information.

According to Moksha, the acquisition of Arzooo’s assets is set to equip smaller retailers with essential digital tools and integrated fintech solutions. By providing innovative technology, credit access, and affordable levers like low-cost EMIs, the group will enable small retailers to strengthen their foothold in an evolving market.

Moksha Group has also appointed e-commerce veteran Rehan Shaikh as co-founder and CEO.

Founded by ex-Flipsters Khushnud Khan and Rishi Raj Rathore, Arzooo recently launched gostor.com, a consumer platform to take partner offline stores online. The company claims to have a pan-India presence helping 30,000 retailers on the platform across 250 cities.

The firm has raised approximately $85 million to date, including an undisclosed funding round in January this year. Its largest funding, a $70 million Series B round, was secured in June 2022 from investors such as SBI Investment, Trifecta, Celesta Capital, and 3 Lines VC.