PHOTO
Saudi Arabia's buy now, pay later (BNPL) start-up Tamara has raised $100 million in its latest investment round, bringing the total funding since its inception to $216 million in equity and debt.
The Series B equity round is led by Riyadh investment firm Sanabil Investments, a portfolio company of Saudi Arabia's Public Investment Fund (PIF), with participation from Abu Dhabi venture capital firm Shorooq Partners, as well as Coatue and Endeavor Catalyst. The funding round also includes a follow-on investment by global fintech Checkout.com.
Launched in September 2020 by Saudi entrepreneurs Abdulmajeed Alsukhan, Turki Bin Zarah and Abdulmohsen Albabtain, Tamara had previously raised $6 million in January 2021 and $100 million in April 2021, the largest-ever recorded in the Middle East and North Africa (MENA) region.
The company has so far attracted three million customers and more than 4,000 partner merchants, including major brands like Ikea, Adidas and Namshi.
BNPL as a mode of payment is rising in popularity among consumers.
According to a survey by Checkout.com, more than 50% of customers across the region are expected to use BNP this year.
In addition to those who are already using BNPL, 31% of residents in the UAE said they plan to use the technology in the coming 12 months, while 27% in Saudi Arabia, 26% in Kuwait and 18% in Bahrain intend to do the same.
(Reporting by Cleofe Maceda; editing by Seban Scaria )
