Catenaa, Tuesday, September 02, 2025- Klarna said on Tuesday it was aiming for a US listing valuing the fintech at up to $14 billion, as investor appetite in high-growth tech stocks revives after a years-long dry spell.
Several tech listings, including neo-bank Chime and stablecoin issuer Circle, have attracted solid demand, signaling a cautious revival in market activity.
The Buy Now Pay Later(BNPL) lender and some of its investors plan to sell 34.3 million shares in the IPO at prices expected to be between $35 and $37, aiming to raise $1.27 billion.
Fintechs such as Klarna are gaining market share from traditional banks by offering faster, more flexible payment options and digital-first services that appeal to younger consumers, with analysts expecting the growth of BNPL and similar products to accelerate as e-commerce expands worldwide.
BNPL services let shoppers split purchases into smaller, interest-free instalments over weeks or months, instead of paying upfront.
The payments sector has also so far largely escaped the impact of tariffs, with consumer spending showing resilience across major economies.
Still, the BNPL model faces risks in a high-inflation environment, with potential credit losses and limited tracking of users’ credit profiles raising concerns about profitability and long-term consumer resilience.
Stockholm, Sweden-based Klarna, which transformed online shopping with its short-term financing model, was founded in 2005 – when e-commerce was in its nascence – and reached unicorn valuation in 2012.
The company, led by co-founder Sebastian Siemiatkowski, counts Silicon Valley venture capital giant Sequoia among its most prominent and longtime shareholders.
It caught investor attention after its valuation soared from $5.5 billion to $46.5 billion in just about two years after three rounds of funding between mid-2020 and 2021.
The company, which has been eyeing a New York listing for years, paused its plans in April due to choppy global markets after President Donald Trump announced sweeping tariffs on major trading partners.
The company had about 111 million active consumers and roughly 790,000 merchants in 26 countries as of June 30.
