Klarna Group PLC has raised $1.37 billion in its US stock market debut, pricing its shares at $40, above its original target range.
The listing values the Swedish buy-now, pay-later firm at $15.1 billion, well below its 2021 peak of $45 billion, but a recovery from the $6.7 billion valuation seen during last year’s tech slump.
The offering, which was reportedly oversubscribed 25 times, comes as investors show renewed interest in fintech IPOs following a broader market rebound. Klarna’s expansion into the US has boosted user numbers and transaction volumes, but profitability remains elusive.
Losses widened to $52 million in the most recent quarter, though revenue grew to $823 million.
Founded in 2005, Klarna has become a prominent name in alternative payments, allowing users to spread costs interest-free.
The company generates most of its revenue from merchant fees but has seen interest income rise to 25% of its total. Trading begins Wednesday under the symbol “KLAR”.