Klarna Successfully Completes IPO on NYSE
Klarna, the 20-year-old fintech company, has recently achieved a significant milestone by completing its initial public offering (IPO) on the New York Stock Exchange, raising $1.4 billion. This accomplishment came primarily from existing investors.
The fintech giant priced its shares at $40, exceeding the anticipated range of $35 to $37, and debuted with a valuation of $15 billion. The shares began trading at $52 but later stabilized around $46 throughout the day.
Of the 34.3 million shares sold by Klarna, only 5 million were newly issued by the company itself. The rest were sold by existing stakeholders, including Sequoia Capital and managed entities tied to Dutch billionaires Anderson Holch Povlsen, Silver Lake, and BlackRock. Despite this share reduction, these investors still maintain significant stakes.
This pattern is reminiscent of Figma’s IPO, where existing investors often refrain from selling at IPO prices. According to a VC who spoke with TechCrunch, this helps to create a larger floating stock supply, which can enhance valuation and attract substantial institutional investors.
Interestingly, co-founder and CEO Sebastian Siemiatkowski chose not to sell any shares during the IPO. His stake is valued at $1.02 billion based on the IPO price, equating to about 7.5% ownership of the company.
Victor Jacobson, another co-founder who left the company in 2012, cashed out 1.1 million shares but retains more than 8% of Klarna. Meanwhile, co-founder Niklas Adalberth still holds close to 3 million shares.
Sequoia Capital remains Klarna’s largest investor, controlling nearly 23% of the company. Michael Moritz, who initially backed Klarna in 2010, served as chairman until stepping down from Sequoia in 2023. Sequoia later added another member to Klarna’s board, smoothing out internal governance issues.
Siemiatkowski remarked on the significance of this moment, saying, “When I started Klarna in 2005, it was just a wild idea. Niklas, Victor, and I aimed to simplify shopping and payment.” He added that the listing in New York represents not just a milestone but a testament to the ambition and capabilities of their team.
Interestingly, Klarna’s $1.4 billion IPO does not set a record for the largest IPO in 2025; that title belongs to CoreWeave, which raised $1.5 billion in June.
