Tabby Raises $233 Million, Increasing Valuation to $6.5 Billion
Tabby, the Riyadh-based fintech company, announced the closing of a new $233 million funding round that increased its valuation to $6.5 billion, in one of the region’s most prominent fintech funding rounds in 2026. The announcement was made on September 14, with the company confirming that the new capital will support its expansion from flexible payment services into a broader range of credit and money management solutions in Saudi Arabia and the United Arab Emirates.
The round was led by Blue Pool Capital, with participation from HSG, Wellington Management and Arbor Ventures. According to a statement from Tabby, the transaction remains subject to applicable regulatory approvals, including approval from the Saudi Central Bank.
From Buy Now, Pay Later to a Broader Financial Services Platform
Tabby began operations by focusing on “buy now, pay later” solutions, but has expanded its business in recent years toward a more diverse range of financial services. The company says it has been profitable since 2023 and currently processes more than $18 billion in annual transaction volume across approximately 25 million registered users and around 70,000 merchants.
In Saudi Arabia, Tabby has obtained licenses allowing it to offer consumer financing with larger amounts and longer terms, in addition to working-capital financing for small and medium-sized enterprises. Its earlier acquisition of the digital wallet “Tweeq” also strengthened its ability to expand into accounts, cards and transfers, linking the new round to a broader plan to build an integrated financial services ecosystem rather than limiting itself to installment payments at the point of sale.
Why the New Valuation Matters
The $6.5 billion valuation reflects notable growth compared with the $4.5 billion valuation resulting from a secondary share sale in October 2025. It also comes as Saudi Arabia’s fintech market undergoes rapid expansion, driven by the growth of digital payments, the development of the regulatory environment, and the entry of local and regional companies into financial products that go beyond the traditional “buy now, pay later” model.
Tabby said part of the round includes a liquidity option for employees. Since 2023, the company has facilitated share sales for current and former employees worth more than $100 million in total, giving some team members an opportunity to realize part of the value of the shares they own.
Saudi Arabia at the Heart of the Growth Strategy
Tabby is currently focused on the Saudi and UAE markets. In the Kingdom, the expansion of its licenses gives it an opportunity to offer broader financing products to individuals and businesses, while benefiting from the growth of e-commerce and digital payments. According to company data, its platform serves tens of thousands of local and global brands, including Amazon, Apple, IKEA, Jarir, Samsung and noon.
In an interview with Reuters, co-founder and CEO Hosam Arab said the new capital is primarily aimed at deepening the company’s presence in its two main markets. Asked about a public listing, he indicated that the company is profitable and well-capitalized, meaning there is no need to impose a specific timeline for an offering. The market and timing will be chosen when the company decides to proceed with a listing.
For Saudi Arabia’s fintech sector, the round provides an additional indication of the ability of companies launched in the Kingdom or headquartered in Riyadh to attract substantial international capital, particularly as competition shifts from payment services alone toward building digital financial platforms that offer credit, money management, accounts and transfers within a single experience.
