Tabby to acquire Saudi fintech Tweeq

Tabby to acquire Saudi fintech Tweeq

News

• 03 September, 2024

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Arabic

• Saudi Arabia-based fintech Tabby has announced finalising an acquisition deal of Tweeq, a Saudi-based digital wallet licensed by the Saudi Central Bank (SAMA).
• Founded in 2019 in the UAE by Hosam Arab, Tabby is a buy now pay later (BNPL) fintech with over $6 billion in annualised transaction volume. Meanwhile, Tweeq, founded in 2020 by Saeed Albuhairi and Abdulaziz Almalki, offers a spending account that allows customers to spend, send, and manage their money.
• The acquisition will enable Tabby to expand its financial product suite with Tweeq’s digital wallet to offer its customers digital spending accounts, cards and money management tools.
• In November 2023, Tabby closed a Series D round at $200 million, led by Wellington Management and Bluepool Capital, along with existing investors, including STV, Mubadala Investment Capital, PayPal Ventures, and Arbor Ventures. 

Press release:

Tabby, the MENA’s leading shopping and financial services app, has announced it has entered into a definitive agreement to acquire Tweeq, a Saudi-based digital wallet licensed by the Saudi Central Bank (SAMA), during 24 Fintech, Saudi’s flagship fintech event. Tweeq will continue to operate independently, and through future opportunities, Tabby could explore expanding its financial products suite to include digital spending accounts, cards, and money management tools in accordance with laws and regulations.

Tweeq, founded in 2020, is one of the early electronic money institutions licensed to operate in Saudi Arabia, providing an alternative to traditional banking accounts. As a fintech company, Tweeq offers a spending account that allows customers to spend, send, and manage their money with ease, giving them more control over their finances.

The agreement is a significant step towards realising the goals of Saudi Vision 2030, contributing to the expansion of digital financial services. Tweeq will partner with Tabby, pending regulatory approval, to expand its services within Tabby’s ecosystem and consumer scale. By offering accessible savings and spending accounts, Tabby aims to contribute to building a more inclusive economy and promoting a cashless society.

Hosam Arab, CEO and Co-Founder of Tabby, said: “Tweeq has made it its mission to meet the financial needs of Saudi Arabia by building the best mobile-first spending account. With Tweeq joining forces with Tabby, we will unlock a whole new suite of financial products designed to empower our customers to do even more with their money when they spend, send or save.”

Saeed Albuhairi, Co-Founder and CEO of Tweeq, said: “We are looking forward to merging Tweeq’s offerings into Tabby’s ecosystem so that we can cater to the financial needs of millions of users across the GCC, providing them with an innovative alternative to traditional banking.”

Tabby graduated from the SAMA regulatory sandbox and received its BNPL permit in July last year. The acquisition agreement reinforces the growing maturity and potential of Saudi Arabia’s fintech industry, spotlighting the region’s expanding financial technology sector and representing a breakthrough for the broader Middle Eastern fintech ecosystem. The transaction is subject to undergoing regulatory approvals and the required legal and administrative proceedings.