Klarna gears up for an autumn offering to resurrect a $15 billion New York IPO
Klarna Targets Fall 2025 IPO in New York
Klarna, the popular buy now, pay later giant, is aiming to revive its planned initial public offering (IPO) in New York this September or October, with a target valuation of $15 billion under the ticker "KLAR".
The Swedish company, which boasts a full Swedish banking license since 2017, originally filed its IPO prospectus in March 2025 but paused due to stock market volatility related to tariff concerns. However, market conditions have improved significantly since then, with renewed momentum in the IPO market in the second half of 2025.
Despite the uncertainties that still remain, Klarna's successful IPO depends on these macroeconomic factors, including tariff developments and broader market stability.
Niclas Neglen, the company's finance chief, stated in a memo to investors that Klarna's momentum continues to build, and the intention to list remains firm. Neglen also mentioned that they are closely monitoring market conditions and will move swiftly when the timing aligns. The timing of the IPO is continuously being reviewed and is likely to take place before the end of the year.
Klarna employs about 5,000 people and has drawn backing from investors such as SoftBank's Vision Fund, Sequoia Capital, and Mubadala, the Abu Dhabi sovereign wealth fund. The company has also been authorized by the City watchdog as an Electronic Money Institution (EMI), allowing it to offer cashback to its 11 million UK customers later this year.
The impending listing in the US delivered a fresh disappointment to the London Stock Exchange. Shareholders should expect to be notified 48 hours in advance of an IPO being launched, according to Neglen.
John Craske, a spokesman for the company, reiterated that Klarna is a fully licensed bank in Sweden since 2017. The company's CEO, Sebastian Siemiatkowski, founded the company and also set up a new holding company in Britain last year.
Despite the challenges faced in the past, Klarna is optimistic about its future and is eager to move forward with its IPO plans, hoping to attract investors who share its vision for the future of shopping and payments.
- Klarna's prospective IPO, scheduled for fall 2025, is not only a move in the realm of business but also a significant step in the tech sector, given the company's innovative buy now, pay later model.
- The successful completion of Klarna's IPO in New York, pegged for before the end of the year, may potentially have far-reaching implications, not just for finance, but also for international trade, given the tariff developments and market stability concerns.
