Saudi Arabian shopping and payments platform, Tamara, has secured a receivables warehouse facility of up to $150 million from Goldman Sachs, bringing the firm's total funding in equity and debt to $366 million since its launch in September 2020.
The company, which aims to transform how people shop, pay and bank, will use the funds to finance the growing demand for its flagship buy now pay later (BNPL) product and further expansion into new verticals. Tamara has already signed up six million customers in Saudi Arabia, the UAE, Bahrain and Kuwait.
The startup claims it has over 15,000 partner merchants, including global brands such as H&M and IKEA, to offer products and services online and in-store. In addition, Tamara provides co-marketing, benefiting its partners by delivering high-intent shoppers to their apps.
Tamara’s strategy to target Millennials and Gen Z has put the company at the forefront of the fintech sector's rapid transformation in the GCC, where low credit card penetration and cash on delivery are still prevalent.
The youth demographic, which makes up around 70% of the population, is heavily skewed toward technology, providing a unique opportunity for digital-first approaches such as Tamara's.
The latest round of funding will allow the company to continue its mission to empower people in their daily lives, as it moves into new verticals beyond BNPL.