UAE-based buy now, pay later company Tabby has engaged banks in preparation for a potential initial public offering (IPO). Sources indicate that the firm is in discussions with HSBC, JPMorgan, and Morgan Stanley regarding a public offering in Saudi Arabia, which is expected to occur in late 2025 or 2026.
This move towards going public comes after Tabby’s successful financing round in December 2023, where the company secured $700 million in debt financing from JPMorgan and extended its series D round to $250 million. Additionally, Tabby recently acquired Saudi digital wallet Tweeq, enhancing its offerings by providing customers with spending accounts that feature money management tools.
Founded in 2020, Tweeq is among the earliest electronic money institutions licensed to operate in Saudi Arabia, presenting an alternative to conventional banking accounts. Tabby, which emerged from the SAMA regulatory sandbox and obtained its buy now, pay later permit in July 2023, boasts a valuation of $1.5 billion, serving 14 million users and maintaining partnerships with over 40,000 global brands and small enterprises.