Middle East fintech company Tabby has raised $233 million in a new equity round at a valuation of $6.5 billion, strengthening its position as it expands from buy now, pay later services into a broader digital financial services platform. The round was led by existing investor Blue Pool Capital, with participation from HSG, Wellington Management and Arbor Ventures.
Tabby has been profitable since 2023 and currently processes more than $18 billion in annualised transaction volume across 25 million registered users and 70,000 business partners. The new capital will be used to support the company’s expansion across Saudi Arabia and the UAE, with a focus on broader credit and money management services.
The company’s move into financial services has accelerated over the past year following several regulatory developments. In Saudi Arabia, the Saudi Central Bank has granted Tabby consumer and SME finance licences, allowing the company to provide larger and longer-term financing to consumers and working capital solutions to businesses.
Tabby has also acquired Tweeq, a SAMA-licensed digital wallet, adding capabilities covering accounts, cards and transfers to its existing payments and financing services. In the UAE, Tabby secured a Stored Value Facilities licence from the Central Bank of the UAE. The licence supports the launch of Tabby Cash, which the company describes as an alternative to a debit account without account or card fees. Customers can earn cashback on card spending and send money locally and internationally.
The latest funding round also provides a liquidity option for Tabby employees. Since 2023, the company has facilitated more than $100 million in employee share sales through share tenders, enabling current and former employees to realise part of the value of their holdings.
Hosam Arab, CEO and Co-Founder of Tabby, said, “We began with a button at an online checkout to help people spread costs over time. Everything since, every product and every licence, has come back to the same idea: people deserve more from their money. This round means we can build further on that, without changing how we think about growth or discipline.”
Christopher Wu, Chief Investment Officer at Blue Pool Capital, said, “Tabby has demonstrated an impressive ability to innovate for their customers, evolving beyond payments to become the trusted platform for millions of people managing, spending and growing their money across the region. We are proud of our partnership with Tabby over the past three years, and we are excited to continue supporting the impressive growth of the company with this financing.”
The transaction remains subject to applicable regulatory approvals, including approval from the Saudi Central Bank (SAMA).
