Swedish Payment Firm Klarna Raises $460 Million

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Klarna

Stockholm based payment solution company Klarna has bagged a $460 million in fresh funding round led by Dragoneer Investment Capital. The round saw participation from Commonwealth Bank of Australia, HMI Capital, Merian Chrysalis Investment Company Limited, Första AP-Fonden, IPGL, IVP, and BlackRock. The current infusion now values the firm at $5.5 billion. Before this round, the company had pouched a $93 million in Private equity round. This latest infusion in the firm takes the total amount raised by the company to $1.2 billion.  

Launched in 2005 by Niklas Adalberth, Sebastian Siemiątkowski, and Victor Jacobsson, the company offers payment solutions for merchants as well as shoppers. The platform claims to e offering their services to more than 60 million consumers across 90,000 merchants in 14 countries. The few of the main offerings of Klarna are direct payments, pay after delivery options and installment plans.

Sebastian Siemiatkowski commenting on the update through a statement said that "This is a decisive time in the history of retail banking. Finally, transparency, technology, and creativity will serve the consumer, and there will be no more room for unimaginative products, non-transparent terms of use or lack of genuine care of one's customers. We, all 2500 of us at Klarna, are humbled and honored, and now also further empowered, to play a role in this improvement of an industry for the benefit of the consumer, worldwide and in the U.S. in particular."

As the company becomes one of the most highly valued private fintech companies in the world, the freshly raised funds will help it make inroads in the US' payment market.

 

Image Courtesy : SpaceOTechnologies

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