Mubadala-backed buy now, pay later platform Tabby has achieved unicorn status after it raised $200 million in a series D funding round, joining a highly elite group of billion-dollar start-ups from the Middle East and North Africa.
With a valuation of more than $1.5 billion, Tabby joins the UAE's Careem, Kitopi, Swvl and Emerging Markets Property Group, Saudi Arabia's STC Pay and Egypt's Fawry on the exclusive list.
The investment will help Tabby, which was founded in Dubai, expand its operations in Saudi Arabia and the UAE, the Arab world's two biggest economies, as it prepares for a planned initial public offering in the kingdom, the company said on Wednesday.
Tabby announced its relocation to Saudi Arabia in September as part of its preparations for a listing on the Tadawul stock market. It did not provide further details on its IPO plans.
US-based Wellington Management led the latest funding round, with Hong Kong's Blue Pool Capital and existing investors such as Abu Dhabi's Mubadala Investment Capital, Saudi Arabia's STV, PayPal Ventures and Arbor Ventures also taking part.
Tabby manages more than $6 billion in annualised transaction volume, and the new funding will be used to continue developing the company's financial and shopping services for consumers and retailers, it said.
“With this investment, we can advance our mission across Saudi Arabia and the UAE,” said Hosam Arab, chief executive and co-founder of Tabby.
The BNPL business model, which allows consumers to make online purchases instantly and spread their payments out over interest-free instalments, has boomed since the onset of the Covid-19 pandemic, driven by the millennial and Generation Z cohorts.
The global BNPL market is projected to hit $565.8 billion in 2026, from an estimated $309.2 billion in 2023, growing at a compound annual rate of 25.5 per cent, the latest insight from GlobalData shows.
The number of unicorns in Mena is expected to grow by 2030, with more than 45 start-ups expected to emerge from the region by the end of the decade, led by Saudi Arabia, a previous report from STV had shown.
The UAE unveiled its updated Entrepreneurial Nation 2.0 initiative that has a goal of creating 20 unicorns by 2031.
Tabby has been actively attracting more funding to boost its operations. In January, it raised $58 million in a series C round that valued it at $660 million.
That made the company one of the most valuable start-ups in Mena and the first in the GCC to receive funding from the venture capital arm of PayPal.
The company secured $150 million in debt financing from US-based Atalaya Capital Management and Partners for Growth in August 2022, in one of the largest credit lines secured by a FinTech start-up in the GCC.
In March of the same year, it raised $54 million from Sequoia Capital India and STV in March.
Tabby has become “a reference model in terms of both discipline and disruption – two things that are hard to crack in tandem”, said Abdulrahman Tarabzouni, founder and chief executive of STV.
The BNPL platform is active in Saudi Arabia, the UAE and Kuwait, with more than 80 per cent of its 10 million-strong user base coming from the kingdom, according to the company.
In addition to Tabby, there are a number of players such as Postpay, Cashew, Spotii and Tamara that are also jostling for a share of the Middle East's BNPL market.
What are the influencer academy modules?
- Mastery of audio-visual content creation.
- Cinematography, shots and movement.
- All aspects of post-production.
- Emerging technologies and VFX with AI and CGI.
- Understanding of marketing objectives and audience engagement.
- Tourism industry knowledge.
- Professional ethics.
The years Ramadan fell in May
Mohammed bin Zayed Majlis
Company name: Farmin
Date started: March 2019
Founder: Dr Ali Al Hammadi
Based: Abu Dhabi
Sector: AgriTech
Initial investment: None to date
Partners/Incubators: UAE Space Agency/Krypto Labs
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Specs
Engine: Duel electric motors
Power: 659hp
Torque: 1075Nm
On sale: Available for pre-order now
Price: On request
UAE currency: the story behind the money in your pockets
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The five pillars of Islam
The five pillars of Islam
1. Fasting
2. Prayer
3. Hajj
4. Shahada
5. Zakat
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The five pillars of Islam
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FIGHT CARD
Bantamweight Hamza Bougamza (MAR) v Jalal Al Daaja (JOR)
Catchweight 67kg Mohamed El Mesbahi (MAR) v Fouad Mesdari (ALG)
Lighweight Abdullah Mohammed Ali (UAE) v Abdelhak Amhidra (MAR)
Catchweight 73kg Mostafa Ibrahim Radi (PAL) v Yazid Chouchane (ALG)
Middleweight Yousri Belgaroui (TUN) v Badreddine Diani (MAR)
Catchweight 78kg Rashed Dawood (UAE) v Adnan Bushashy (ALG)
Middleweight Sallaheddine Dekhissi (MAR) v Abdel Emam (EGY)
Catchweight 65kg Rachid Hazoume (MAR) v Yanis Ghemmouri (ALG)
Lighweight Mohammed Yahya (UAE) v Azouz Anwar (EGY)
Catchweight 79kg Omar Hussein (PAL) v Souhil Tahiri (ALG)
Middleweight Tarek Suleiman (SYR) v Laid Zerhouni (ALG)
Lexus LX700h specs
Engine: 3.4-litre twin-turbo V6 plus supplementary electric motor
Power: 464hp at 5,200rpm
Torque: 790Nm from 2,000-3,600rpm
Transmission: 10-speed auto
Fuel consumption: 11.7L/100km
On sale: Now
Price: From Dh590,000
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Emergency phone numbers in the UAE
Estijaba – 8001717 – number to call to request coronavirus testing
Ministry of Health and Prevention – 80011111
Dubai Health Authority – 800342 – The number to book a free video or voice consultation with a doctor or connect to a local health centre
Emirates airline – 600555555
Etihad Airways – 600555666
Ambulance – 998
Knowledge and Human Development Authority – 8005432 ext. 4 for Covid-19 queries
Essentials
The flights
Etihad and Emirates fly direct from the UAE to Delhi from about Dh950 return including taxes.
The hotels
Double rooms at Tijara Fort-Palace cost from 6,670 rupees (Dh377), including breakfast.
Doubles at Fort Bishangarh cost from 29,030 rupees (Dh1,641), including breakfast. Doubles at Narendra Bhawan cost from 15,360 rupees (Dh869). Doubles at Chanoud Garh cost from 19,840 rupees (Dh1,122), full board. Doubles at Fort Begu cost from 10,000 rupees (Dh565), including breakfast.
The tours
Amar Grover travelled with Wild Frontiers. A tailor-made, nine-day itinerary via New Delhi, with one night in Tijara and two nights in each of the remaining properties, including car/driver, costs from £1,445 (Dh6,968) per person.
Key figures in the life of the fort
Sheikh Dhiyab bin Isa (ruled 1761-1793) Built Qasr Al Hosn as a watchtower to guard over the only freshwater well on Abu Dhabi island.
Sheikh Shakhbut bin Dhiyab (ruled 1793-1816) Expanded the tower into a small fort and transferred his ruling place of residence from Liwa Oasis to the fort on the island.
Sheikh Tahnoon bin Shakhbut (ruled 1818-1833) Expanded Qasr Al Hosn further as Abu Dhabi grew from a small village of palm huts to a town of more than 5,000 inhabitants.
Sheikh Khalifa bin Shakhbut (ruled 1833-1845) Repaired and fortified the fort.
Sheikh Saeed bin Tahnoon (ruled 1845-1855) Turned Qasr Al Hosn into a strong two-storied structure.
Sheikh Zayed bin Khalifa (ruled 1855-1909) Expanded Qasr Al Hosn further to reflect the emirate's increasing prominence.
Sheikh Shakhbut bin Sultan (ruled 1928-1966) Renovated and enlarged Qasr Al Hosn, adding a decorative arch and two new villas.
Sheikh Zayed bin Sultan (ruled 1966-2004) Moved the royal residence to Al Manhal palace and kept his diwan at Qasr Al Hosn.
Sources: Jayanti Maitra, www.adach.ae
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Company Profile
Name: Thndr
Started: 2019
Co-founders: Ahmad Hammouda and Seif Amr
Sector: FinTech
Headquarters: Egypt
UAE base: Hub71, Abu Dhabi
Current number of staff: More than 150
Funds raised: $22 million
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