Klarna, the global digital bank known for its “buy now, pay later” services began trading on the New York Stock Exchange Wednesday under the ticker symbol KLAR. With the official launch of its IPO, Klarna’s valuation soared to more than $17 billion, reporting by The Wall Street Journal showed.
According to a company news release, Klarna’s offering consisted of just over 34.3 million ordinary shares, including 5 million shares sold directly by the company to raise funds for its operations. The remaining 29.3 million shares are being sold by existing shareholders.
The company announced the stock price at $40 per share, $4 above the midpoint of the previously estimated range, with underwriters having a 30-day option to purchase up to 5.1 million additional shares to cover over-allotments. The WSJ reported trading for shares opened at $52 and fluctuated as high as $57.20 before closing at $45.82.
Several major banks are managing the offering, led by Goldman Sachs, J.P. Morgan and Morgan Stanley, with additional support from BofA Securities, Citigroup, Deutsche Bank and others.
Klarna says this IPO marks a major milestone as it continues to expand its footprint in the global financial and tech markets.
“Going public in New York is huge. It’s not just a milestone; it’s a statement. It’s proof that a bunch of stubborn dreamers from Stockholm can take on the world — and win. But this isn’t the finish line. It’s fuel. Fuel for us to keep disrupting, keep innovating and keep making life easier for millions of people out there,” Klarna CEO Sebastian Siemiatkowski said in a statement.
