RIYADH: Saudi Arabia’s buy-now-pay-later platform Tamara has announced a new asset-backed financing facility of up to $2.4 billion in a landmark deal.
The transaction, unveiled at the Money20/20 conference in Saudi Arabia, upsizes a previous $500 million facility arranged by Goldman Sachs, underscoring strong investor confidence in Tamara’s growth and the regional fintech market.
According to a press release, the Shariah-compliant facility is backed by a consortium of global financial heavyweights, including Goldman Sachs, Citi, and funds managed by Apollo, and will be used to help the company expand into new credit and payment products.
Tamara is the Kingdom’s first fintech unicorn and offers payment solutions to over 20 million customers. It is backed by investors including Sanabil Investments, a wholly-owned company of the Public Investment Fund, and SNB Capital.
Abdulmajeed Al-Sukhan, co-founder and CEO of Tamara, hailed the deal as a pivotal moment for the company, adding: “This landmark facility with our global financing partners accelerates our growth trajectory, empowering us to invest further in building the most customer-centric financial super-app on earth.”
Tamara’s facility is structured with an immediate initial commitment of $1.4 billion, with an additional $1 billion available over a three-year period subject to certain approvals.
The new capital is earmarked to fuel Tamara’s expansion into new credit and payment products, enhancing its lending capacity and supporting its vision to become a comprehensive financial super-app.
The deal not only bolsters Tamara’s commercial ambitions but also aligns with the strategic goals of Saudi Arabia’s Vision 2030.
By enhancing the company’s ability to support private sector growth and attracting significant inward investment from major international institutions, the facility supports the Kingdom’s Financial Sector Development Program and its aim to advance its capital markets.
As Saudi Arabia’s first homegrown fintech unicorn, Tamara has seen rapid growth since its $340 million Series C round in December 2023. The platform now partners with more than 87,000 merchants, including major global brands Apple, IKEA, and Amazon.
This facility positions Tamara for its next phase of regional expansion and product diversification, solidifying its leadership in the Gulf Cooperation Council’s fintech landscape.
Source: www.arabnews.com