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Klarna’s upcoming U.S. stock market debut is turning heads in fintech circles, with investors and insiders betting the move could open the floodgates for long-delayed listings from British startups.
The Swedish payments giant, best known for its buy-now-pay-later service, filed to go public on the New York Stock Exchange earlier this month. It’s Klarna’s second attempt in four years to list, after shelving a 2021 IPO bid when rising interest rates and shaky markets sent tech valuations tumbling.
At its peak, Klarna was valued at $45.6 billion — that figure later dropped to $6.7 billion in a 2022 funding round. Now, it’s expected to return with a valuation north of $15 billion, a source familiar with the plans told Reuters, with pricing likely in early April.
The U.S. represents Klarna’s largest market in terms of revenue, boasting over 37 million customers. CEO Sebastian Siemiatkowski hinted at the likelihood of a U.S. IPO occurring “quite soon”, especially after the company reported its first profitable quarter overall after nearly four years of losses, including four consecutive profitable quarters in the U.S.
Established in 2005, Klarna provides credit to 150 million global shoppers, facilitating the spread of online purchase costs over several weeks. The company processes about 2 million transactions daily across 45 countries.
A strong showing could trigger a wider fintech comeback. “A successful float from a big name like Klarna will prompt others to reconsider going public,” said James Wootton, a partner at law firm Linklaters, who advised Wise on its 2021 listing.
The IPO market for fintech has cooled dramatically since the post-COVID frenzy of 2021, when over 100 companies raised nearly $297 billion globally. That number dropped off a cliff — just 86 raised a combined $32.8 billion between 2022 and 2024, according to PitchBook data.
Still, Klarna’s filing has brought a sense of momentum. “The market’s watching Klarna closely. If it goes well, more listings could follow,” said Tim Levene, CEO of fintech investor Augmentum.
Several UK fintechs are waiting in the wings. Challenger banks Monzo and Starling, and payments platforms Zilch and Ebury, are exploring listing options. Zilch CEO Philip Belamant said the company is eyeing 2026 for a possible float and is tracking Klarna’s IPO closely.
Ebury, backed by Spain’s Santander, could go public in London as early as June, aiming for a £2 billion valuation. Zopa also floated the idea of listing but haven’t set timelines.
Investors in fintech giant Revolut are pushing for a secondary share sale at a $60 billion valuation, a sharp increase from the $45 billion valuation in a similar sale just six months ago. The move comes as Revolut prepares for a potential public listing, which is more likely to take place in New York rather than London
Some firms, flush with capital, are content to wait out market swings. “Many of them can afford to be picky about timing,” said Patrick Evans, head of UK equity capital markets at Citi.
Klarna’s choice of a U.S. listing may also reignite debate over whether Europe, and especially London, can still attract high-growth tech floats. While Monzo is weighing both U.S. and UK venues, no decision has been made. Meanwhile, the London Stock Exchange has been in talks with fintechs like Zilch, but a venue hasn’t been chosen yet.
