Swedish buy now, pay later pioneer Klarna has priced its U.S. initial public offering at $40 per share, above the previously guided $35-$37 per share range, giving the company a valuation of approximately $15.1 billion.
The offering consists of 34,311,274 ordinary shares, with Klarna selling 5,000,000 shares and existing shareholders offering 29,311,274 shares. The fintech company raised about $1.4 billion in its IPO, making it roughly 26 times oversubscribed.
Klarna’s ordinary shares are expected to begin trading on the New York Stock Exchange on Wednesday under the ticker "KLAR." The offering is scheduled to close on Thursday, subject to customary closing conditions.
Goldman Sachs, J.P. Morgan and Morgan Stanley are serving as joint book runners for the offering.
Klarna pioneered the buy now, pay later model that provides microfinancing for small consumer loans used for discretionary purchases. The company’s valuation had reached as high as $46 billion in 2021 following a Softbank-led investment round, before dropping to $6.7 billion in 2022 as global interest rates increased.
Cryptocurrency exchange Gemini, operated by the Winklevoss twins, is also set to make its market debut later this week.
Source :
https://www.investing.com/news/stock-market-news/klarna-prices-ipo-at-40-per-share-valuing-company-at-151-billion-4232497
