Pedestrians walk through a Klarna ad.
Daniel Harvey Gonzalez | In the pictures through Getty Images
Klarna, a now purchase provider, pays loans after submission IPO prospect On Friday, and he plans to make public on the New York Stock Exchange under the Klar Ticker symbol.
Klarna, based in Sweden, has not yet revealed the number of shares to be offered or the planned price range.
The decision to make public in the United States is an important blow to the European Stock Exchanges, which have struggled to retain homemade technology companies. Klarna’s CEO, Sebastian Siemiatkowski, had suggested that a north -American list was more likely, quoting better visibility and regulatory advantages.
Klarna continues to rebuild -after a dramatic crisis. Once a Darling of the Pandemic period rated $ 46 billion in a Softbank -led funding round, Klarna saw that its assessment was reduced by 85% by 2022, it fell to $ 6.7 billion at its most recent primary fund collection. However, analysts now estimate the company’s valuation in $ 15 billion, reinforced by their return to profitability by 2023.
Last year’s income increased by $ 24% to $ 2.8 billion. The loss of operation of the company was $ 121 million for the year and the adjusted exploitation benefit was $ 181 million, which occurred with a loss of $ 49 million a year earlier.
Klarna is the last staff to be presented to an OPI in the United States, as technology companies seek to reach the public market after a historically slow section for new offers. Earlier this month, Coreweave, a cloud -based cloud provider Nvidia Processors to companies included Goal and Microsoft, filed their prospect.
Cloud software seller Services to the service hit the market In DecemberBy marking the first -time technology IPO of the company since then Rubrik’s debut in April. A month before, Reddite Started negotiating in Nyse. There have been no other technological opinions in the United States since the end of 2021, when the increase in interest rates and increasing inflation expelled investors from risk assets.
The volatility of the market could still reach the manner of Klarna’s plans. The Nasdaq has just combined its fourth consecutive loss week, closing on Thursday at its lowest level since September before bouncing a little on Friday.
Data published on Friday at Michigan University confirmed that consumers’ confidence has suffered the continued uncertainty related to rates This has based on the opening weeks of the second Trump administration. The feeling of consumers fell In March at 57.9, less than 63.2 economists surveyed by Dow Jones.
Founded in 2005, Klarna is better known for her purchase now, Pay Latter Model, a service that allows consumers to divide purchases into quotas. The company competes with Assertwhich was made public in 2021, and afterpay, who Block Acquired by $ 29 billion in early 2022. Klarna’s main shareholders include Sequoia Capital and Atomico Risk companies as well as Softbank’s Fund of vision.
Klarna also names big benches like Jpmorgan chase, Cytigroup and Bank of America as competitors as well as traditional credit card networks, including Visa and Mastercardand « Digital -focused banks » like Revolution and Nubank.
Klarna has operated as a completely licensed bank in Europe since 2017, according to the presentation. Semiatkowski told CNBC in December that the company aims to obtain a license in the United States, where it is currently associated with Webbank.
« We want to speed up our money transmission licenses, » said Siemiatkowski, who added that the company is ready to invest a billion dollars in this effort. Klarna wants to « go after these horrible credit card rates that North consumers are used to pay, » he said.
The block on Thursday said that Approved approval From the Federal Deposit Insurance Corporation to cause loans through its bank subsidiary, Square Financial Services, which allows you to offer small dollar consumption loans directly instead of relying on external banking partners. Is a expansion Of lever of the cash application, the short -term loan product of the company.
Block, say and Paypal are each reinforcing their portfolios of financial products, including debit offers, loans and payments, as they try to attract more consumer care and spending. Klarna will have to compete on the price, with attractive rates and incentives, to keep up with competition.
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