After raising $160m, Tabby is Middle East's 'most valuable fintech'

Dubai: One of the leading names in the 'buy now pay later' consumer financing schemes, Tabby has raised a further $160 million through a financing round.

This takes the company's valuation to an impressive $3.3 billion valuation. This makes it the 'most valuable fintech company' in the Middle East, said a statement.

The latest round was led by existing investors Blue Pool Capital and Hassana Investment Company, and also had additional participation from STV and Wellington Management.

Tabby's services are currently available in the UAE, Saudi Arabia and Kuwait.

The BNPL space has been seeing a marked increase in activity in recent weeks, according to retailers, as more Gulf shoppers turn particular attention on their spending ways. (The BNPL financing are typically marketed at 0% interest and where the payments on a purchase are made in instalments over a few months.)

Tabby has not revealed whether it plans an entry into new markets after the latest fund inflow. The focus will be on products is how a top official said it.

“This investment allows us to accelerate our rollout of products that make managing money simpler and more rewarding for our customers," said Hosam Arab, co-founder and CEO of Tabby.

"We're focused on creating tangible impact—helping people take control of their finances with tools that are accessible, effortless and built for their everyday lives.”

Tabby went through its previous funding round in October 2023 and has been 'growing profitability'. It recently acquired Tweeq, a Saudi-based digital wallet.

Fintechs expand their reach

Several consumer-focused fintech platforms have been broadening their services, to get into remittances, peer-to-peer transactions, and more. The BNPL space is also highly rated, and could well see more players coming into the scene.

As for Tabby, the $3.3 billion valuation it now possesses will be particularly useful. There had been speculation about a possible IPO at some point, though the founders have not yet given any such timeline.

At the start of this year, it had more than 15 million registered users and over 40,000 retailers/partners, together creating an 'annualized sales volume of over $10 billion'.

"Their strong revenue growth and operational efficiency sets them apart from other fintech companies globally," said Christopher Wu, Chief Investment Officer at Blue Pool Capital.