Tabby, which lets customers buy products and pay in installments, has raised $275 million in capital to date.
Dubai-based start-up Tabby (Buy Now, Pay Later, BNPL) has secured $150 million in debt financing from two US-based investors.
New York’s Atalaya Capital Management participated in the financing, of its first deal in the Middle East and North Africa region, while San Francisco-based Partners for Growth increased its initial $50 million.
Tabby, which allows customers to purchase goods and pay for them in installments, has so far raised $275 million in the capital. It has partnered with big retail firms such as H&M and Nike.
“Debt commitments from two reputable institutions is the validation of our strong track record and business model,” Hosam Arab, Tabby’s chief executive officer, said in a statement. “As we near profitability, we’re in the fortunate position of not having to raise equity under the current market conditions,” he added.
The Dubai startup’s active customers grew eight-fold in the first half of 2022, compared to the same period last year. Its revenue was up 10 times, while its active retail partners increased by three-fold.
Tabby benefits from the MENA market dynamics that allow the BNPL platform to thrive. For example, in Saudi Arabia, less than 20% of the population has a credit card, while in the US he has over 70%.
