8.6 C
New York
Sunday, October 24, 2021
Home Challanger banks Klarna secures $639million in funding

Klarna secures $639million in funding

The Swedish fintech valuation grew to $46 billion after it secured another investment worth $639million.

Klarna already managed to raise $1bn earlier this year from a number of undisclosed investors at a $31bn value.

Read also: A$AP Rocky invests in Klarna and launches an ad campaign for the company

This round was led by SoftBank’s Vision Fund 2, participated by existing investors Adit Ventures, Honeycomb Asset Management and WestCap Group, to support Klarna’s international expansion and further capture global retail growth.

Sebastian Siemiatkowski, Klarna Founder and CEO said: “Consumers continue to reject interest-and fee-laden revolving credit and are moving toward debit while simultaneously seeking retail experiences that better meet their needs. Klarna’s more transparent and convenient alternatives align with evolving global consumer preferences and drive worldwide growth.”

“I’m very proud of the investors who are supporting Klarna’s ambition to challenge these outdated models to empower consumers with fair, transparent, and convenient products to help them bank, shop and pay each day.”

Yanni Pipilis, managing partner for SoftBank Investment Advisers said, “Klarna’s growth is founded on a deep understanding of how the purchasing behaviours of consumers are changing, an evolution which we believe is accelerating.”

“Klarna has already successfully expanded into the US and we are excited to continue supporting the team in bringing the next generation of financial services to new markets worldwide.”

The volume of transactions also testifies to how the most valuable startup in Europe is doing. In the past quarter, Klarna reached $ 18.1 billion, almost once as much as in the same months last year. 

In 2020, Klarna processed $ 53 billion in payments, significantly more than the Affirm or Afterpay competitors plan for this year.

Avatar
Jan Cerny
Jan is an innovation enthusiast and Fintech news reporter. He specializes in news distribution, social media, and content analysis.

Recent posts

N26 has raised $900 million and is worth $9 billion

This way N26 became the second highest-valued bank in Germany, slightly ahead of Commerzbank.

Klarna is strengthening credit checks

Klarna, the “buy now, pay later” credit company, has unveiled important changes to its services in the UK.

Nik Storonsky has opened family office in London

According to Sifted, CEO of Revolut Nik Storonsky has decided to open a family office in London, UK. This...

Curve reported serious operating losses

Fintech Curve has reported an operating loss of £37.9 million in its annual results for 2020.