Arzooo, a B2B retail tech startup founded in 2018 by former Flipkart executives Khushnud Khan and Rishi Raj Rathore, has reportedly been sold to Moksha Group due to financial difficulties.

As part of the deal, Moksha Group will acquire Arzooo's technology platform, intellectual property, trademarks, and private label brand. However, the financial details of the transaction have not been disclosed.

Reports suggest that Arzooo’s troubles began after heavy expenses incurred during last year’s Diwali sales, offering substantial discounts and incentives to retailers. Additionally, the withdrawal of a credit line by one of its lenders worsened the situation, leading to a capital crunch.

The company reportedly began discussions about a sale in early 2024 and held talks with several B2B companies. This acquisition comes amidst reports of financial instability and restructuring within the startup.