Tabby has raised $233 million at a $6.5 billion valuation, giving the Middle East fintech fresh capital to expand beyond its buy now, pay later roots and deeper into financial services.

The equity round was led by existing investor Blue Pool Capital, with participation from HSG, Wellington Management and Arbor Ventures. Tabby has been profitable since 2023 and now processes more than $18 billion in annualised transaction volume across 25 million registered users and 70,000 business partners.

From BNPL to Broader Financial Services

The new funding comes as Tabby moves into a much broader role in its customers’ financial lives. Over the past year, the company has secured licences that allow it to offer new products in Saudi Arabia and the UAE.

In Saudi Arabia, the Saudi Central Bank has granted Tabby consumer and SME finance licences. These allow the company to offer larger and longer-term financing to consumers, while also providing working capital to businesses. Tabby’s acquisition of Tweeq, a SAMA-licensed digital wallet, has also expanded its capabilities into accounts, cards and transfers.

In the UAE, Tabby secured a Stored Value Facilities licence from the Central Bank of the UAE. This enables the launch of Tabby Cash, which provides an alternative to a traditional debit account without account or card fees. Customers can earn cashback on card spending and send money locally and internationally.

Building Around an Existing Customer Relationship

Tabby’s expansion reflects a broader fintech strategy: once a company has established itself at a key point in the customer’s financial journey, additional products can become a natural extension.

The company began with a simple checkout proposition that allowed consumers to spread payments over time. Its latest moves extend that relationship into financing, spending, transfers and money management. The challenge now is making those products work together as one financial experience rather than as a collection of separate services.

For Tabby, its existing scale provides a strong starting point. With 25 million registered users and $18 billion in annualised transaction volume, the company can build new financial products on top of an established customer and merchant network.

Capital for the Next Stage of Scale

The round also includes a liquidity option for employees. Tabby has run share tenders since 2023 and has facilitated more than $100 million in share sales for current and former employees, giving employees a way to realise part of the value created by the company.

The latest financing therefore comes at a different stage of Tabby’s development. The company is already profitable and operating at significant scale. The focus is now on using that foundation to broaden its product offering across two major regional markets while maintaining the financial discipline that has supported its growth.

Key Takeaways for Fintech Startups

Tabby’s expansion highlights several lessons for fintech founders:

• Build from a strong customer entry point: A focused product can become the foundation for a much broader financial relationship.
  
  
• Licensing can unlock the next growth phase: Regulatory approvals can turn an established payments product into a wider financial services platform.
  
  
• Use distribution before adding complexity: New products have more potential when they can reach an existing customer and merchant base.
  
  
• Profitability changes the role of growth capital: Once the core business is working, new funding can accelerate expansion rather than simply fund survival.

Tabby’s next phase will test whether a successful BNPL business can become a broader financial platform across the Middle East. For fintech companies making a similar transition, Contact us to discuss your growth strategy, positioning and next stage of expansion.