Citigroup has provided a $500m financing facility to Abu Dhabi’s Astra Tech. The funding is in the form of asset-backed securitisation and will support Astra Tech’s subsidiary Quantix and its CashNow consumer lending platform. The investment is widely regarded as recognition of the fintech’s financial standing and its diverse, fast-growing range of lending products. Quantix was also the first UAE-based fintech in sixteen years to receive a Finance Company License from the UAE Central Bank.
Astra Tech was founded in 2022 and is one of the MENA region’s leading consumer technology holding groups. Alongside Quantix, last year the group acquired the voice-calling app Botim supported by $500m in funding led by G42, coming on the heels of its acquisition of fintech firm Payby in 2022.
This latest deal is a significant move for Astra Tech and will support the group’s efforts to develop a super app that integrates digital payments and messaging services.
There has been an uptick in activity in GCC fintechs in the past few years. In 2023, Saudi Arabia’s Tabby shopping and financial services app secured $700m from JPMorgan Chase in an asset-backed credit line, while that same year the Saudi shopping, payment and banking app Tamara received substantial support from Goldman Sachs.
These deals highlight the growing trend of fintechs in the region attracting major international bank backing, with the UAE and GCC regions continuing to show robust growth despite global economic challenges.
Gulf Economist Staff Writer