(Bloomberg) -- Swedish payments firm Klarna Group Plc has filed for an initial public offering in the US, ending months of speculation that the company was readying a stock market listing.
Klarna confidentially submitted a draft registration statement to the Securities and Exchange Commission regarding the IPO, it said in a statement. The number of shares to be offered and the price range have not yet been determined.
The company is working with Goldman Sachs Group Inc., JPMorgan Chase & Co. and Morgan Stanley to arrange the IPO that’s expected next year, according to people familiar with the matter. Representatives for the banks declined to comment.
While no financial details were provided in the statement, analysts last month put Klarna’s implied valuation at about $14.6 billion after shareholder Chrysalis Investments Ltd increased the value of its stake in the fintech to £120.6 million ($154 million).
That would mark an improvement from the $6.7 billion price tag it garnered in its last fundraising round in 2022, but it’s all a far cry from the $45.6 billion price tag Klarna got in a 2021 fundraising round. What was once of the world’s most valuable startups saw its valuation plummet amid a tech rout sparked by the war in Ukraine and a sharp jump in interest rates.
The formal start of listing proceedings has come despite turbulence in the company’s board room. In October, Klarna shareholders voted to oust a member of the company’s board of directors — Mikael Walther — after he and co-founder Victor Jacobsson repeatedly clashed with Chairman Mike Moritz and Chief Executive Officer Sebastian Siemiatkowski.
Klarna said in the statement that its public debut is expected to take place after the SEC completes its review process, subject to market and other conditions.
--With assistance from Aisha S Gani and Bailey Lipschultz.
(Updates to add banks that Klarna is working on the offering to the third paragraph.)
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