Swedish fintech giant Klarna is preparing for its debut on the New York Stock Exchange, aiming to raise approximately 12 billion SEK with a total valuation of around 129 billion SEK. The company, founded in 2005, has seen fluctuating valuations over the years and plans to issue 34.3 million shares at a price range of 35–37 USD per share.
Klarna Set to Debut on New York Stock Exchange
Klarna Set to Debut on New York Stock Exchange
Swedish fintech giant Klarna is set to be listed on the New York Stock Exchange, according to the company. The plan is to raise approximately 12 billion SEK in conjunction with the listing, with Klarna aiming for a total valuation of around 129 billion SEK, as stated in the prospectus.
No specific date for the stock listing is mentioned in the prospectus submitted to the U.S. Securities and Exchange Commission (SEC).
The valuation can be compared to the three major Swedish banks – Handelsbanken, SEB, and Swedbank – which, as of September 1, ranged between 240–360 billion SEK, or Daniel Ek's New York-listed streaming service Spotify, with a market value of approximately 1,335 billion SEK.
Historically Higher Valuation
It can also be compared to Spotify's valuation at its 2018 IPO of 245 billion SEK or Volvo Cars' market value at the car manufacturer's 2021 introduction of 163 billion SEK.
Klarna's valuation has historically reached significantly higher levels.
In a spring 2021 share issue, it reached 45.6 billion USD, which, according to the exchange rates at the time, corresponded to 485 billion SEK. However, in a summer 2022 share issue, the valuation had collapsed to 71.5 billion SEK.
In total, Klarna will issue 34.3 million shares on the New York Stock Exchange, with a target price of 35–37 USD per share, Klarna writes.
Founded by Trio in 2005
The buy-now-pay-later giant Klarna was created by a Swedish entrepreneurial trio – CEO Sebastian Siemiatkowski, along with Victor Jacobsson and Niklas Adalberth – in 2005, initially under the name Kreditor Europe AB.
In 2015, Klarna launched its payment solution in the U.S. and also applied for a banking license. In 2017, Klarna changed its name to Klarna Bank ahead of the Financial Supervisory Authority's (FI) approval of the company's banking license application.
The legal domicile was changed to London in May 2024, as a preparation for the stock listing that is now imminent.