BNPL FinTech Tamara lands $340m Series C funding at $1bn valuation

By Delisha Fernandes

Tamara, a Saudi Arabia-based FinTech platform offering buy now, pay later (BNPL) services, has raised $340 million in a Series C equity funding round, becoming the Kingdom’s first FinTech unicorn with a valuation of $1 billion.

The round was co-led by SNB Capital and Sanabil Investments, with participation from Shorooq Partners, Pinnacle Capital, Impulse and others, joining existing investors such as Coatue, Endeavor Catalyst and Checkout.com.

Abdulmajeed Alsukhan, Co-founder, and CEO of Tamara said, “This achievement is a testament to the ecosystem, to our incredible team, investors, and the collaborative spirit that makes this region a great place for talent to flourish. As we set our sights on becoming the next big giant in shopping, payments and banking we remain ever grateful for the significant opportunity in this underpenetrated and underserved banking and financial services landscape. Furthermore, The Saudi Central Bank (SAMA) has been instrumental in creating an enabling environment for Saudi companies like Tamara to grow and innovate in the Saudi FinTech sector.”

 SNB Capital Spokesperson stated, “Leading on the Series C raise for Tamara through SNB Capital’s Close-Ended FinTech Fund aligns with one of our objectives to invest in single target companies achieving long-term capital appreciation. FinTech is one of the core investment sectors in SNB Capital’s strategic portfolio and is aligned with the Kingdom’s Vision 2030 objective of supporting FinTech entrepreneurs at every stage of their development.  As a Saudi unicorn Tamara requires significant funding options which SNB Capital is ideally positioned to deliver, and backing the development of the FinTech infrastructure which will support further growth.”

Recently, Tamara has taken the decision to remove late payment fees, highlighting its dedication to offering financial solutions that align with Sharia principles, customer centricity and transparency. The company’s offering makes it a commerce enabler to its partners through the surge in high intent shoppers resulting from co-marketing and a flexible, seamless payment journey.