gulf buy now, pay later (BNPL) solidify Tiger said on Wednesday that he got $150 million in debt funding from the United States solidifys Atalaya Capital Management and Partners for Growth.
This is the largest credit facility ever secured by a fintech in the gulf Region, Tiger said in an email statement.
The company raised $275 million in total capital so far, including a Series B extension earlier this year, he said.
Founded in 2019, based in Dubai Tiger partners with retailers to offer consumers, online and in-store, the ability to defer payment on purchases for up to 30 days or pay four equal monthly payments at no cost.
“The dynamics of the Middle East and North Africa market make BNPL much more relevant to developed markets where players continue to face challenges,” Tiger said.
BNPL’s business model was born out of a very low interest rate environment that allowed BNPL solidifys to raise funds at a relatively low cost and offer point-of-sale loans to customers on e-commerce sites.
Consumers pay for their purchases in installments over a period of weeks or months, usually without interest, and BNPL solidifys charge online retailers a fee for each transaction.
But the sector faces a toll as the circumstances that fueled its explosive growth come to an end, with consumers cutting back on spending and rising interest rates pushing BNPL higher. solidifyfinancing costs, compressing their margins.