The demand for credit options varies across regions. In developed markets like the Middle East, where credit card penetration is low and spending power is high, buy now, pay later (BNPL) services have gained immense popularity.
Tabby, a leading fintech in MENA, has become the region’s most valuable fintech after securing $160 million in funding, valuing it at $3.3 billion. The funding was co-led by Blue Pool Capital and Hassana Investment Company, with participation from STV and Wellington Management.
Tabby’s success stems from its ability to adapt to local market needs. Initially focused on online payments, it has expanded into in-store transactions, retail, and financial services. Its Tabby Card allows flexible spending, while Tabby Plus offers a subscription-based rewards program. Tabby Shop provides longer-term payment plans for better deals.
This product line expansion has helped Tabby grow its user base to 15 million across Saudi Arabia, the UAE, and Kuwait. Seeking to broaden its offerings, Tabby acquired Tweeq, a digital wallet provider, to expand into digital accounts, payments, and money management tools.
Remittances, an area where Tabby has a strong position, are also on its roadmap. With Saudi Arabia and the UAE among the largest remittance markets globally, Tabby plans to target the UAE-India corridor, one of the busiest remittance routes. It plans to offer flexible remittance options, allowing users to split remittances over time.
Tabby faces competition from Tamara in BNPL and global players like Revolut in remittances. However, it is confident in its scale, local market expertise, and customer relationships.
Tabby’s Series E funding could be its last private raise before an IPO on the Saudi Exchange. Investor demand for tech IPOs is rising in MENA, and Tabby aims to be the region’s next major tech listing. With over $1 billion raised in equity and debt, Tabby is focused on scaling its financial ecosystem before taking the next step towards an IPO.
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