Swedish fintech firm Klarna is reportedly seeking to raise at least $1bn (£777m) in a US initial public offering (IPO), according to sources who spoke to Bloomberg.
The company's US filing, which could be submitted as early as next week, is expected to target a valuation exceeding $15bn on the New York Stock Exchange, insiders revealed, as reported by .
Discussions are ongoing, with the payments business aiming to price the IPO in early April, although specific details of the listing plan or timings could change, Bloomberg's sources noted.
In November, Klarna submitted a confidential IPO filing with the US Securities and Exchange Commission (SEC).
It is believed that the firm is working with up to 15 banks on the listing, including industry heavyweights JP Morgan, Goldman Sachs and Morgan Stanley.
A US listing would represent another setback for the struggling London Stock Exchange (LSE).
Last year saw 88 companies depart the LSE, including tech star Darktrace and Paddy Power-owner Flutter, while only 18 firms joined through new listings. These figures, initially reported by the Financial Times, represent the most significant net outflow of firms from the market since the financial crisis in 2009.
Despite this, Klarna maintains a strong º£½ÇÊÓƵ presence, boasting over 18m customers and 31,000 merchants, which had previously sparked hopes of a high-profile London IPO.
The decision by the company could raise concerns about the future of its fintech peers Monzo and Revolut, with the CEO of the latter stating in December that the º£½ÇÊÓƵ market cannot compete with the US in its current state.
Klarna provides a buy now, pay later service, enabling consumers to divide purchases into interest-free payments or ones they can opt to pay over time.
The firm's valuations have fluctuated in recent years, with a 2021 funding round propelling the company to a valuation of $45.6bn (£35.4bn), but falling in the subsequent round to $6.7bn (£5.2bn).
Several major retailers support Klarna payments, including Argos, Currys, JD Sports and, since last year, Uber Eats.
Sebastian Siemiatkowski, Niklas Adalberth and Victor Jacobsson founded the company in 2005 after participating in the annual entrepreneurship competition at the Stockholm School of Economics.
