Tamara lands $1B valuation with $340M Series C funding

Tamara lands $1B valuation with $340M Series C funding

Tamara has successfully secured $340M in a Series C equity funding round, bringing the company’s valuation to $1B. The fintech platform has also made history by becoming the first local fintech unicorn in the Kingdom. SNB Capital, the leading regional financial institution, and Sanabil Investments, a wholly owned company by the Public Investment Fund (PIF), co-led this round. The round saw participation from Shorooq Partners, Pinnacle Capital, Impulse, and others. Existing investors such as Coatue, Endeavor Catalyst, and Checkout.com also joined in.

Three Saudi co-founders—Abdulmajeed Alsukhan, Turki Bin Zarah, and Abdulmohsen Al Babtain—founded Tamara in late 2020. The Saudi Central Bank (SAMA) authorized it as one of the early companies to offer BNPL services. With over 10 million users and more than 30,000 partner merchants, Tamara has experienced a sixfold increase in annual revenue in under two years.

Tamara serves as a commerce enabler for its partners by attracting more motivated shoppers through co-marketing and an easy payment process. Its partners range from big names like SHEIN, IKEA, Jarir, Noon, eXtra, and Farfetch to local small and medium businesses. Currently, more than one-third of Tamara’s users begin their shopping on the app, resulting in a notably better return on advertising investment for Tamara’s partner merchants.

Abdulmajeed Alsukhan, Co-founder, and CEO of Tamara said in a statement:

“Saudi Arabia deserves its place on the world stage for financial technology. Just as Tamara was created by local entrepreneurs, nurtured by a supportive local ecosystem and market regulators, we stand here today, humbled and hungry, ready for our own leapfrog moment. 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.”

Recently, Tamara has decided to eliminate late payment fees. This shows its commitment to providing financial solutions that follow Sharia principles, focus on customers, and are transparent. Moreover, this move reflects Tamara’s dedication to being socially responsible and prioritizing customer happiness, aiming for a smooth, compliant, and trustworthy financial experience for all.

About The Author

Gia Butt

Gia is an incoming university student at LUMS. She has a passion for all things literature, fashion, and content creation.

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