Klarna

Klarna was founded in 2005 in Stockholm by Sebastian Siemiatkowski, Niklas Adalberth, and Victor Jacobsson, initially building online payment and checkout technology for e-commerce merchants before becoming one of the pioneers and largest global providers by transaction volume (per company disclosures and industry reports) of "buy now, pay later" (BNPL) financing, which lets consumers split the cost of a purchase into several smaller installment payments, often interest-free if paid on the agreed schedule, an alternative to paying the full purchase price upfront or using a traditional credit card, and a payment option that has grown substantially in popularity particularly among younger consumers. Klarna's core BNPL product integrates directly into merchants' online checkout flows, and the company has built partnerships with a very large number of e-commerce retailers globally who offer Klarna as a payment option, with industry analysis indicating that offering flexible payment options like BNPL may increase conversion rates and average order values for merchants. Merchants typically pay Klarna a fee for facilitating these transactions, similar to standard credit card processing fees. The company expanded significantly beyond its original BNPL offering into a broader shopping and financial app, including a shopping discovery and price comparison feature, a debit card, and various other banking-adjacent financial products, positioning itself as a broader digital banking and shopping "super app" rather than only a checkout financing option. Klarna reached a peak private valuation of $45.6 billion in 2021 during the height of fintech investor enthusiasm, before undergoing a very significant valuation markdown to roughly $6.7 billion in a 2022 down round (per widely reported funding announcements) as investor sentiment toward buy-now-pay-later business models and unprofitable growth-stage fintech companies cooled considerably amid rising interest rates and increased regulatory scrutiny of BNPL products. The company completed a long-anticipated initial public offering on the New York Stock Exchange in 2025, competing with other BNPL providers including Affirm and Afterpay (owned by Block).

News

11/5/2026

Klarna Launches Global Call Verification Tool to Combat Fraud

Klarna's new Call Status Detection tool enhances security for over 120 million users by verifying call legitimacy, addressing the growing threat of fraud.

Yahoo Finance

11/3/2026

Flat Capital's Q3 NAV declines as Klarna shares drop

Flat Capital's Q3 NAV falls, reflecting the negative impact of Klarna's declining share value on its financial performance.

TradingView

10/30/2026

Kohl's Integrates Klarna Payment Options for Holiday Shoppers

Kohl's enhances customer convenience by integrating Klarna's flexible payment options, catering to the growing trend of pay later plans among holiday shoppers.

PYMNTS.com

10/28/2026

Klarna's President to Present at UBS Global Technology Conference

Klarna participates in the UBS Global Technology and AI Conference on December 1, 2026, showcasing its leadership in the fintech sector.

Yahoo Finance

10/22/2026

Klarna Partners with FreshBooks to Enhance BNPL Options for Small Businesses

This partnership allows small businesses to offer flexible payment methods, improving cash flow and customer payment options while Klarna's BNPL solutions drive increased merchant conversion and sales.

PYMNTS.com