Despite being a more speculative type of investment, initial public offerings or IPOs are commonly known as a great way for investors to get good returns in a short time. IPOs are a common way for companies to continue their growth by becoming public and selling their shares on the stock market.If you’ve wondered, “is Klarna publicly traded?” read on to find out about Klarna stock IPO and all the important information about Klarna IPO date and price.
Klarna History
Klarna was founded in 2005 by four students from Stockholm School of Economics, beginning as an online payment provider allowing customers to pay for their purchases after they had received them. Since then it has grown into one of Europe’s largest fintech companies with over 10 million active users across 17 countries, offering services such as buy-now-pay-later options, installment plans and financing options for small businesses. Over the years it has raised hundreds of millions in funding from venture capital firms such as Sequoia Capital, Atomico Ventures and General Atlantic among others while also striking strategic partnerships with retailers like H&M and Ikea.
Klarna's CEO is Sebastian Siemiatkowski, who owns 7% of the company. He has been a board member of Klarna Holding AB since 2005 and CEO since 2010. He holds a Master of Science degree, M.Sc., and is the chairman or board member of several other organizations.
Siemiatkowski co-founded Klarna in 2005 and pioneered the "buy now, pay later" model in fintech that has been struggling in 2022. He has maintained the company's business model despite massive losses and layoffs. He saw his net worth decrease substantially from $3.4 billion in 2021 due to the big drop in valuation. As Klarna reported a $1 billion loss in 2023, Siemiatkowski received a 35 percent boost to his salary, bringing it to 13.2 million Swedish krona ($1.6 million).
Siemiatkowski is passionate about the business and believes that by offering people healthier forms of credit, it doesn't encourage them to borrow more. He also recently set out a plan for profitability after posting its losses.
Read on to find out about Klarna IPO 2023 and other key info.
Klarna Public Listing Key Data and IPO Date
Klarna IPO Date: TBA
Ticker: N/A
Exchange: N/A
IPO stock price: N/A
Valuation: $6.7 billion (in 2022)
Market cap: N/A
CEO: Sebastian Siemiatkowsky
Category: N/A
So when is Klarna going public? Klarna has yet to announce an official IPO date but it is expected sometime during 2023. It is currently in the process of filing paperwork with the US Securities and Exchange Commission (SEC), and reports suggest that it could be valued at around $6.7 billion and that it’s going to have an IPO on the NYSE. The company also plans to raise up to $800 million in funding prior to its IPO launch.
While no official announcements have been made, there is no information about the Klarna IPO price and stock symbol yet.
So What About Investing Now?
Because Klarna remains private, the best way to invest for most people is to wait until the Klarna IPO. But let’s imagine their IPO date was announced this week. Here are the main reasons why investors may be interested in investing in this company.
First, Klarna is a leader in the eCommerce payment solutions space. It offers customers a range of payment options during checkout, including interest-free installments and instant financing. This makes it easier for customers to purchase items without having to pay upfront or wait for their credit card statement to arrive. Furthermore, Klarna's mobile app allows shoppers to compare prices on over 3 million products from more than 6,000 stores so they always get a great deal.
Second, Klarna has seen tremendous growth since its launch in 2005. It now serves over 85 million consumers and 200,000 merchants across 17 countries around the world. The company also recently announced plans to expand into the US market with its acquisition of SoFi Money and SoFi Invest products. This expansion will give Klarna access to millions of new potential customers and further strengthen its position as a global leader in digital payments.
Finally, Klarna has secured significant investments from some of the world’s leading venture capital firms such as Sequoia Capital and Atomico Ventures. These investments demonstrate confidence in the company’s long-term prospects and provide additional capital for future growth initiatives.
For these reasons, investors should consider investing in Klarna if and when it goes public.
However, a lot will depend on the current market conditions. Because people’s spending habits are key to the company’s business model, if consumer spending continues to slow like it did in 2022, this may continue to harm the company’s business.
Investments like IPOs are speculative and much riskier than big companies with proven business models, robust earnings, and potential to scale. While it’s fun to try, don’t rely on IPOs to bring you money, timing the market is hard. An even better approach is to build a balanced portfolio of stocks in an industry you know or believe in. Download Gainy to check out TTF stock collections to invest in themes you like.
Check out our IPO section to look at other scheduled IPOs. If you want to find companies that match your interests, investment goals and portfolio, try Gainy for some great IPO investment ideas, as well as established blue-chip companies and a variety of other assets.
FAQ
Is Klarna a public company?
Not yet – but it is expected to go public sometime during 2023. When an official announcement is made we’ll find out the Klarna stock IPO date.
What will be Klarna’s stock symbol?
The stock symbol has not yet been announced but will likely become available closer to its actual IPO date.
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