Arzoooo raises $70 million in new funding

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Arzoooo raises $70 million in new funding

In a new funding round, Arzoooo raised $70 million, backed by global and Indian venture capitalists, including Japan-based SBI Investment, Trifecta Leaders Fund, and Doordash founder Tony Xu. Existing investors, including Celesta Capital and 3 Lines VC, also participated in this round. The company had raised Series A funding from Celesta and 3 Lines, followed by an investment from Zoom founder Eric Yuan.

The company will be able to scale its technological might with the help of the latest funding, with a focus on scaling stores growth and market expansion.

We really appreciate the interest from the investor community, but we are really glad to have some amazing people with shared vision to transform offline retail joining the board, said Arzooo, co-founder and CEO, Khushnud Khan. The Internet was seen as a rival to offline retail and the retailer community has been at the receiving end for a while while the last decade has been about the proliferation of new age economies. Today, technology is making a big leap into brick mortar, and we are excited to be at the forefront of this revolution while enabling the next generation of retail for lakhs of neighborhood stores. Khan said that Arzooo is essentially eliminating the barrier of size, scale and capital for medium and small stores while democratising retail in India.

In 2018, Arzooo was founded by ex-Flipkart colleagues Khushnud Khan and Rishi Rathore to transform offline retail. The Bengaluru-based company provides retailers access to a wide variety of SKUs across leading and emerging brands. It is already powering 30,000 retailers.

Yoshitaka Kitao, Chairman and President of SBI Investment said Arzoooooooooos business model is very capital efficient and can meet the increasingly diversified needs of retail shops and end customers. Lavanya Ashok, Partner at Trifecta Capital said that consumer durables and electronics are a large category of consumption that needs to be disrupted through the efforts of companies like Arzoooo, especially in non-metro markets.