Klarna, the Swedish payments firm, which recently announced a foray into Cryptocurrency, completed another $1 billion funding round, which brings its total value to $31 billion and makes it the most valuable European start-up.
It has just now been reported on Reuters that the “buy now, pay later” company has now even overtaken Deutsche Bank in regards to its value.
Klarna Chief Executive Sebastian Siemiatkowski remarked in an interview that he felt there was even more opportunity ahead:
“If you look at this valuation and compare it to some of the large retail banks in this whole industry, we are still a fraction of the opportunity that’s out there,”
Over 30 investors took part in the latest funding round, which appears to reflect the excitement for this venture. Hans Otterling, a partner at venture capital firm Northzone, one of the early investors in Klarna, said:
“Spotting early success stories like Klarna and watching them grow into global unicorns is what makes us so bullish about the future of European tech,”
Klarna was also in the news just over a week ago, when it announced a partnership with Swedish cryptocurrency broker Safello. The brokerage will use Klarna’s open banking-powered payment system to enable its 180,000 customers to buy cryptocurrencies.
Frank Schull, CEO of Safello, remarked:
“This is a match made in heaven. Klarna shares our vision of offering a superior user experience without compromising security and compliance.” And “Besides, open banking is an exceptionally exciting area that will play a key role in our future plans.”
Rumour has it that Klarna may well be preparing itself for an Initial Public Offering (IPO). Another option might be a merger with a Special Purpose Acquisition Company (SPAC), although CEO Siemiatkowski is said to prefer a direct listing in order to cut costs.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.