Tamara, a Saudi-based buy now pay later platform, announced the closure of its seed funding round with an investment of 22.5 million Saudi riyals (US$ 6 million) led by the Impact46 Venture Capital Fund.

The startup reported that this is the largest seed funding round in the Kingdom and the third in the region.

Other investors include a group of local and regional funds such as Vision Ventures, Wealth Well, Seedra Ventures, Khwarizmi Ventures, Hala Ventures, and Nama Ventures. A few family investment offices also participated in the funding round.

Founded in 2020 by entrepreneur Abdul Majeed Al-Sikhan, co-founder of mint and founder of the Hubli app, Tamara is a fintech startup that obtained a license from the Saudi Central Bank to provide purchase now and pay later services within its regulatory sandbox.

The startup currently has a presence in Germany, Vietnam and the Emirates, in addition to its main office in Saudi Arabia.

“We believe that Tamara will change the rules of the game and consumer behavior in the retail sector significantly.

 

Tamara enables merchants to increase their sales by providing the service of buying now and paying later or paying in installments without interest or fees,”

said Abdul Majeed Al-Sikhan, Co-founder and CEO of Tamara.

Abdulaziz Al-Omran, CEO of Impact46 Venture Investment Fund said,

“The value of operations in the financial technology sector is expected to reach 33 billion dollars (124 billion riyals) by 2023. We believe that buying now and paying later services is a promising and untapped space.

 

We are proud of Impact. By investing in Tamara, which we are confident that it will be one of the leaders of transformation and growth in the financial technology sector in the Kingdom. “

Featured image credit: Tamara