Tabby secures $150m credit facility from Atalaya Capital, Partners for Growth

Tabby, the region’s leading payments and shopping app, has secured $150m in debt financing from Atalaya Capital Management and existing investor Partners for Growth (PFG).

This facility is US-based Atalaya Capital’s first deal in the MENA region.

San Francisco Bay Area-based PFG has raised their initial $50m commitment under the new facility.

In total, this represents the largest credit facility ever secured by a fintech in the GCC. Following Tabby’s Series B extension earlier this year, Tabby’s total capital raised to date amounts to $275m.

Read: Buy-now-pay-later provider tabby secures $54m in funding

In the last few months, major brands like H&M, Bath & Body Works, Nike, Swarovski and more have chosen Tabby as their payments partner. Tabby will continue to provide MENA’s consumers with access to credit otherwise unavailable to them, without charging any interest or other fees.

In May, it announced the launch of Tabby Card, a first-of-its-kind solution in MENA tapping into 90 per cent of the retail opportunity that happens offline.

The company has grown 10 times in revenue, eight times in active customers and three times in active retailer partners in the first half of 2022, compared to the same period last year. Tabby continues to operate with superior economics driven by controlled risk in a market where access to credit is scarce and consumers cannot easily overextend themselves.

Hosam Arab, CEO and co-founder of Tabby, said: “Debt commitments from two reputable institutions is the validation of our strong track record and business model. As we near profitability, we’re in the fortunate position of not having to raise equity under the current market conditions and as such are thrilled to partner with the like-minded people at PFG and Atalaya.”

Justin Burns, managing director of Atalaya Capital, said: “Atalaya is excited to partner with Tabby in its mission to expand access to credit and payments in markets where there are limited existing options.”

Max Penel, co-head of Global Fintech at PFG, said: “We continue to be impressed by Tabby’s ongoing rapid growth whilst materially improving its unit economics and PFG is excited to continue to support Tabby through an upsize of our existing facility.”