The listing would come with a valuation of up to $15b, in what would be one of the biggest IPOs this year. Klarna has sought to cut costs and reduce its balance sheet ahead of an IPO, believing AI will allow it to almost halve its headcount. It has also been offloading loans in a drive to free up capital for lending growth and recently sold most of its UK portfolio to US hedge fund Elliott.
Klarna has narrowed its losses in the past year, and appears on track to return to annual profitability. It was regularly profitable until 2019, when it started to accept some credit losses in order to pursue US expansion.
https://www.ft.com/content/aea83b1c-ae00-4769-81d3-bc7e194ff55d
