Buy Now Pay Later (BNPL) services provider, Tabby has recently secured $54 million in funding for the expansion of its operations. The company has a strong presence in the United Arab Emirates and Saudi Arabia.
The funding round, which was led by Sequoia Capital India and STV, witnessed participation from other investors, including Arbor Ventures, Mubadala Investment Capital and Global Founders Capital (GFC).
Last year, the BNPL services provider raised $50 million in its Series B round to enter new markets. Due to the recent funding rounds, the total valuation of Tabby has increased significantly in the past 12 months.
“The rapid adoption we continue to see today shows the urgency of consumer demand for flexible and honest payment experiences over predatory interest-driven credit. We are delighted to have Sequoia Capital India support our mission towards creating financial freedom as we embark on a key growth chapter in our journey,” Hosam Arab, the CEO and Co-Founder of Tabby, commented.
Tabby saw a sharp rise in the number of new customers amid a jump in the adoption of BNPL technology in the region. According to the fintech firm, it has more than 1 million active customers in Saudi Arabia and the UAE.
BNPL Funding
Buy Now Pay Later companies have gained traction among venture capital firms around the world. In February 2022, ViaBill received a total of $120 million in funding. The financing round was led by Fasanara capital.
“Consumer-centric digital financial services provide real-time and without friction can unlock the growth of commerce and benefit the ecosystem as a whole, and we continue to remain bullish on businesses that can do so at scale. Hosam, Daniil and the team at tabby have built a strong customer-first and market-leading BNPL business in Saudi Arabia and the UAE, and we’re excited to join their journey as they continue to build a consumer-focused financial services business across the region,” GV Ravishankar from Sequoia India, said.
