Klarna Launches US IPO at $14 Billion Valuation

Sweden’s Klarna has kicked off its long-anticipated U.S. IPO with share pricing set between $35 and $37, aiming to raise about $1.27 billion and land a valuation of up to $14 billion.

That comes after the company deferred its April debut due to market turbulence following U.S. tariffs.

The IPO structure includes 34.3 million shares, of which 5.56 million are newly issued and the rest offered by existing shareholders.

Led by Goldman Sachs, JPMorgan and Morgan Stanley, the offering will list on the New York Stock Exchange under the ticker “KLAR”.

Once a pandemic-era darling, Klarna’s private valuation peaked at over $45 billion in 2021. That figure has since contracted sharply, dropping to $6.7 billion by 2022 before inching back toward current levels amid sustained operational pressures.

The return to public markets signals renewed investor interest in growth-stage fintechs, especially as broader IPO sentiment improves.

Despite scale serving roughly 111 million active consumers and nearly 790,000 merchants across 26 countries, Klarna’s financials remain strained. In Q2 2025, it posted losses of $52 million, more than double the prior year’s $18 million, driven partially by loan defaults.

Still, the firm emphasizes its deposit-driven lending model; it deployed consumer deposits totaling $14 billion over the preceding year to fund its activities.

This offering is more than a capital event. A successful debut could restore confidence in the BNPL (buy now, pay later) model and encourage similar listings from European fintechs. But if valuation skepticism or regulatory pressure dampens performance, it may slow momentum for rivals like Affirm, Afterpay or PayPal in pursuing public listings.

Retaining a sharp outlook, analysts watching KLAR will be looking for early trading traction, credit default trends, and how effectively Klarna balances growth with financial discipline.