UAE-based BNPL provider tabby raises $54mn in its extension round

UAE-based BNPL provider tabby raises $54mn in its extension round

Dubai-based buy now, pay later (BNPL) platform, tabby has raised $54 million from an extension round co-led by Sequoia Capital India and Saudi Arabia’s STV, as it seeks to expand its operations globally.

The new funding follows tabby’s initial Series B round of $50 million announced last August that valued the company at $300 million. The BNPL provider has raised $104 million in total Series B funding and plans to use this extension round to expand its consumer product offering and facilitate its international expansion.

Existing investors including Mubadala Investment Capital, Arbor Ventures and Global Founders Capital also participated in the company’s extended funding round.

Hosam Arab

CEO & Co-Founder

tabby “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.”

The BNPL business model, which enables consumers to make online purchases instantly and spread their payments out over interest-free installments, has boomed since the onset of the COVID-19 pandemic.

The industry is expected to grow 10 to 15 times by 2025 globally, topping $1 trillion in