Klarna Group, which provides a platform for e-commerce payment plans, filed on Friday with the SEC to raise an estimated $1.0 billion in an initial public offering.
The company, which has its roots in Sweden, is perhaps best known for its buy-now-pay-later plans, including its four-part interest-free payment plan. It also offers its own "Klarna Card" in partnership with Visa, and its own app offering cashback on e-commerce purchases made through it. Klarna states it has about 93 million active customers, and 675,000 merchants in 26 countries as of December 31, 2024, and that it facilitated $105 billion of GMV in 2024. It also states that 99% of transactions it facilitated in 2024 were interest-free.
The London, United Kingdom-based company was founded in 2005 and plans to list on the NYSE under the symbol KLAR. It had been on our Private Company Watchlist since December 2019. Goldman Sachs, J.P. Morgan, Morgan Stanley, BofA Securities, Citi, Deutsche Bank, Societe Generale, and UBS Investment Bank are the joint bookrunners on the deal. No pricing terms were disclosed.
