Klarna Group, a rival of Affirm Holdings in the "buy now, pay later" market, priced its initial public offering above the expected range.
The Klarna IPO sold 34.3 million shares at $40 a share vs. the targeted range of $35-$37. The Swedish payments company raised $1.37 billion, giving Klarna an initial valuation of $15.1 billion.
KLAR stock will begin trading on the NYSE on Wednesday.
Klarna argues that it's more of a digital bank than a pure "buy now, pay later" play, but there's no doubt that it's a significant rival to Affirm. However, Klarna operates mostly in Europe while Affirm's main market is the U.S.
Affirm stock has rallied 45% so far in 2025.
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