We are co-leading with Sequoia Capital a $58m Series C round in tabby, the leading Buy Now Pay Later (BNPL) provider in MENA. Tabby enables over 10,000 merchants to offer 4-month installment plans and cashback to both online and in-store customers, at zero cost for the buyer.
Backers of tabby since their Series A round in 2020, we have always been confident in the company’s ability to drive adoption of flexible payments for consumers across the MENA region. Hosam and the Tabby team have proven us right by enabling more than 3 million active customers mainly in Saudi Arabia and the UAE to pay in installments from over 10,000 merchants including global and regional brands such as SHEIN, H&M, Adidas, IKEA, Noon, and VogaCloset.
Since our latest investment a year ago, the company has shown spectacular momentum, with revenue growing 5x, consolidating its market leader status in the Middle East. Beyond the initial split-in-4 service, Tabby has so far successively rolled out an array of products including the merchant directory, a cashback offering, and more recently the Tabby card. It has also recently expanded into Kuwait.
The MENA region is one of the fastest-growing markets for BNPL services, on the back of contactless payments’ adoption, e-commerce growth and lack of access to credit, representing a $95bn opportunity that still remains underpenetrated.
We are excited to reiterate our conviction in Tabby by co-leading a Series C with Sequoia Capital, as they continue to spearhead this sector and build new frictionless consumer-focused payment experiences, deepening our partnership with a remarkable team on their growth journey across the region.
The round has been joined by a blend of new and existing investors including notably PayPal Ventures, Mubadala, Arbor Ventures, and Endeavor Catalyst.