Tabby has raised USD 233 million in a new equity round at a USD 6.5 billion valuation.  The round was led by Blue Pool Capital, with participation from HSG, Wellington Management, and Arbor Ventures.

This comes as the fintech moves to expand beyond its buy now, pay later business into broader financial services. Moreover, it aims to support its expansion across Saudi Arabia and the UAE as it builds out products spanning financing, payments, accounts, cards, and money transfers.

Why You Should Care

Tabby’s latest raise comes as the company moves from a BNPL-focused model toward a broader financial services platform.

Its expansion is also increasingly tied to regulated financial products. In Saudi Arabia, Tabby has obtained consumer and SME finance licenses from the Saudi Central Bank, enabling it to offer larger and longer-term consumer financing as well as working capital products for businesses.

In the UAE, the company has secured a Stored Value Facilities license from the Central Bank of the UAE, allowing it to introduce Tabby Cash, which provides customers with an alternative to a traditional debit account.

The Details

Founded by Hosam Arab and Daniil Barkalov, Tabby is a fintech company. It has built its business around flexible consumer spending, but its recent moves point toward a wider financial services proposition.

“We began with a button at an online checkout to help people spread costs over time. Everything since, every product and every licence, has come back to the same idea: people deserve more from their money. This round means we can build further on that, without changing how we think about growth or discipline,”

Hosam Arab, CEO and Co-Founder of Tabby

In Saudi Arabia, Tabby has expanded its capabilities through the acquisition of Tweeq, a SAMA-licensed digital wallet. The acquisition adds capabilities around accounts, cards, and transfers to its existing offering.

In the UAE, Tabby secured a Stored Value Facilities licence from the Central Bank of the UAE to launch Tabby Cash. This is an alternative to a debit account with no account or card fees.  Moreover, it will allow customers to send money locally and internationally, while also offering cashback on card spending.

The latest financing also includes a liquidity option for employees. Tabby has conducted employee share tenders since 2023. Thus, facilitating more than USD 100 million in share sales and allowing current and former employees to realize part of the value of their holdings.

The transaction remains subject to applicable regulatory approvals, including approval from the Saudi Central Bank.

The Ripple

Tabby’s expansion places it across several parts of the financial services ecosystem, from consumer and SME financing to digital wallets, cards, and money transfers.

For consumers, the shift could mean more financial products being offered through a platform they already use for everyday spending. For businesses, Tabby’s SME financing capabilities add another dimension to its relationship with its 70,000 business partners.

The company’s growing presence across Saudi Arabia and the UAE also reflects the importance of these two markets to its next phase. Rather than expanding geographically first, Tabby is deepening its financial services offering within the markets where it already operates.

What to Watch

The key signal will be how effectively Tabby converts its BNPL user base and merchant network into adoption of its broader financial services products.

With new financing and payments capabilities now being added to its platform, the next phase will show whether Tabby can turn its scale in everyday spending into a wider financial relationship with consumers and businesses across Saudi Arabia and the UAE.