Tabby, the leading buy now, pay later (BNPL) provider in Saudi Arabia and the UAE, has raised $50 million in a Series B round which values the company at $300 million.
The funding round is led by Global Founders Capital and STV with participation from Delivery Hero, CCVA, and existing investors including Arbor Ventures, Mubadala Investment Capital, Raed Ventures, Global Ventures, MSA Capital, VentureSouq, Outliers VC, JIMCO, and HOF.
Founded in 2019 by Hosam Arab, Tabby integrates with retailers to allow their customers to shop at their online and physical stores with interest-free installments. Its app has more than 400,000 active shoppers, with 3,000 daily downloads making it one of the highest-ranked shopping apps in the markets in which it operates.
Tabby works with more than 2,000 partners including global brands like Adidas, IKEA, SHEIN, VogaCloset and regional retail groups like Chalhoub Group, Al Futtaim Group, Landmark Group, and Apparel Group.
The new funding will be used to expand tabby’s product portfolio and enter a number of new markets.
What they are saying
Hosam Arab, CEO, and Co-founder of tabby, said “With global players consolidating the MENA BNPL space, we at tabby are proud to continue building a local business and work with investors who understand its value. This investment will enable us to deliver the most rewarding and relevant shopping experience for regional consumers and retailers.”
Mark Venema, Senior Vice President, Strategy of Delivery Hero, said, “At Delivery Hero, we believe in the power of entrepreneurship. We are excited to be investing in tabby as our first FinTech investment in MENA, a strategically important region for Delivery Hero. We see great potential in tabby to drive the industry forward and are proud to be supporting the company on its growth journey.”
Ahmad Alshammari, Partner of STV said, “As the global BNPL market is expected to grow at ~30% CAGR over the next five years, we estimate that MENA will grow at least twice as fast, further accelerated by a rapid switch to contactless payments, e-commerce growth, and access to credit. Our doubling-down shows our strong belief that tabby is the market leader in MENA and that they will continue to drive BNPL’s growth across the region by enabling buyers and merchants alike.”