(Image Source: Klarna)
Fintech startup Klarna has raised $650 million in a new funding round led by Silver Lake and is currently valued at $10.65 billion. With this new round, it appears that Klarna will become the highest-valued private fintech company in Europe.
The startup offers an alternative payment method on e-commerce platforms where consumers can choose to buy now and pay later through slice payments. With Klarna, consumers can spread the cost of purchase into 3 or 4 interest-free installments. This method of payment has been growing in popularity in Europe as many consumers prefer not to use credit cards.
Klarna has also expanded into the US and currently has over 9 million customers. As of today, the company is already working with over 200,000 retail partners: including Sephora, Groupon, Ralph Lauren, H&M, and Gymshark. In the first half of 2020, Klarna reported $466 million in revenue.