Klarna, Europe’s most valuable startup company, is raising $1 billion at a $31 billion valuation

We covered Klarna last summer when the Swedish unicorn startup announced a $650M funding round at a $10.6 billion valuation, officially making Klarna Europe’s highest valued private fintech company and the 4th highest worldwide.

Since our last story, the “buy now, pay later” company continues to experience exponential growth despite the ongoing coronavirus pandemic. Klarna’s direct-to-consumer app, which enables users to shop at any store or brand online with installment payment options, is strongly resonating as consumers have become more focused on convenience, value, and control.

Now, Klarna is in the process of raising another $1 billion in financing at a $31 billion valuation, according to a report from CNBC, citing multiple sources. The deal could close within days, CNBC said.

The Snoop Dogg-backed startup is also thinking of going public. Currently valued at $31 billion, Klarna is also among many potential tech IPO candidates in Europe — others include Deliveroo and Wise. Klarna co-founder and CEO KlarnaSebastian Siemiatkowski said a stock market listing could happen as soon as this year.

Klarna was founded in 2005 in Stockholm, Sweden with the aim of making it easier for people to shop online. In the last 12 years, technology has evolved, excited, and transformed the world around us, yet their mission remains as relevant as ever, to make paying as simple, safe, and above all, smooth as possible.

Klarna’s app has more than 12 million monthly active users worldwide, with 55,000 daily downloads, significantly outpacing its nearest competitor with almost 4x as many downloads over the last year. Klarna, a unicorn startup,  is one of the world’s largest providers of “buy now, pay later” services, which offer shoppers interest-free financing over a period of installments.