UAE-based FinTech startup, Tabby has raised US$ 7 million to fund its growth and launch in Saudi Arabia on 8 June 2020.
The funding round was led by Raed Ventures in which MSA Capital and existing investor Arbor Ventures also participated. Total Funding amount stands at US$ 9M.
Tabby is UAE’s first Buy Now Pay Later solution. Tabby helps customers manage their spending with increased flexibility zero-interest instalments. Tabby provides consumers across the UAE and Saudi Arabia with the flexibility to pay for their online and offline purchases either in a deferred single payment or in multiple zero-interest instalments. When customers check out, they don’t even need to enter their credit or debit card details when purchasing. Tabby aims to provide an alternative to Cash on Delivery (COD).
Tabby was founded in 2019 by Hosam Arab (former co-founder and CEO of online retail site Namshi), with an initial finding of USD 2M. E-commerce in GCC (Gulf Cooperation Council) is growing rapidly, especially with the advent of COVID-19. Customers have largely moved to online shopping. In such a situation, Tabby’s timely and much needed financial product helps customers shop at their favourite retail stores while managing their spending more efficiently.
Tabby believes that their innovative payment solution will empower consumer spending and increase customer loyalty. Retailers will also open up to new customers across the country.
“We are very pleased to bring our best-in-market solution to Saudi Arabia at a time when consumers and merchants alike will be strapped for cash. This funding will give our merchant partners further security and assurance that we are sufficiently capitalized to support their sales,” said Hosam Arab.
Meanwhile, Saed Nashef, Founding Partner of Raed Ventures said, “Hosam and his team have built an impressive product that structurally solves key friction points in a transaction for both consumers and merchants, which is especially relevant given the current pandemic. We’re very excited to partner with Tabby, and support its timely launch in Saudi Arabia.”
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