Klarna opens at $52 per share in NYSE debut after pricing IPO above range
Original story by
CNBC•Sep 10•Finance
📰 Article Summary
Klarna's shares surged 30% in their IPO on the New York Stock Exchange, opening at $52 after pricing at $40, raising $1.37 billion and valuing the company at $15 billion. This significant IPO highlights a renewed interest in tech offers, following a trend of high-profile public market entries this year. Co-founder and CEO Sebastian Siemiatkowski expressed that this IPO is a notable milestone for Klarna, which is expanding its banking services in the U.S. Additionally, the offering is set to generate substantial returns for early investors amid growing competition in the buy now, pay later sector.
📌 Key Facts
- IPO Success: Klarna's IPO was a significant success, opening at $52 after pricing above the expected range at $40, signaling strong demand from investors.
- Market Valuation: The IPO raised $1.37 billion and valued Klarna at approximately $15 billion, pointing to notable confidence in the company’s future viability.
- Expansion Plans: Klarna is moving into banking with its debit card and personal deposit accounts in the U.S., aimed at attracting a different audience compared to competitors.
- Investor Returns: The IPO is set to generate substantial returns for long-time investors, including Sequoia, which sold a portion of its shares for a significant profit.
- Regulatory Challenges: Despite the IPO's success, Klarna faces potential regulatory scrutiny, particularly in the U.K. concerning buy now, pay later lending practices.
📂 Article Classification
Topic Tags: Business
📍 Location
New York, New York United States
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