
Swedish fintech company Klarna is reportedly restarting its plan for a U.S. initial public offering (IPO) as early as September 2025. Sources indicate the company is aiming for a valuation of $13 billion to $14 billion, a notable decrease from the nearly $50 billion it sought in 2021.
IPO timeline and background
- March 2025: Klarna publicly filed registration documents for its IPO with the U.S. Securities and Exchange Commission (SEC) under the ticker symbol "KLAR," with plans to list on the New York Stock Exchange.
- April 2025: The company paused its plans, citing market volatility following the announcement of new tariffs by the U.S. government.
- August 2025: Amid improving equity markets, reports emerged that Klarna is reviving its IPO plans for September.
Reported offering details
- Target valuation: Between $13 billion and $14 billion.
- Fundraising goal: To raise close to $1 billion from the offering.
- Share price estimate: Shares could be priced between $34 and $36.
Positive indicators:
- IPO market revival: The market for U.S. tech and fintech IPOs has strengthened throughout 2025, with strong debuts from companies like Figma and Circle.
- Improved financial metrics: Klarna's comparable revenue and adjusted operating profit grew in the second quarter of 2025. Delinquency rates have also decreased.
- Business expansion: The company is expanding beyond its "buy now, pay later" (BNPL) roots by introducing debit cards and other banking services.
- Valuation drop: The expected valuation is far lower than the $45.6 billion peak it reached in 2021.
- Lingering market volatility: Concerns over trade wars and market instability could pose a risk.
- Operational issues: The company disclosed a "material weakness" in its financial controls and is under investigation by the Swedish Consumer Agency.