Clarna value of $ 15 billion before trading

Buy Now shares, Pay later Klarna increased by more than 30 % on Wednesday after the company raised $ 1.37 billion in its life long ago The first general offering.

KLARNA shares, which are traded under TeCker Klar, were opened at $ 52 per share after pricing at a higher amount than expected $ 40, which would estimate the company at about $ 15 billion.

The Swedish company initially led a range from $ 35 to $ 37 per share when it launched the road offer earlier this month.

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CEO Sebastian Simiakovsky Fox Business told him that years ago, he and Chairman Michael Moritz imagined to be similar to the public subscription after Google’s. They wanted to take publicly “when it was a global phenomenon, it was profitable, but it had a lot of growth in itself.” He pointed out that success in the world means that the company must be profitable in the United States, a achievement that was achieved in the past year only, according to Simyatikovsky.

Siemiatkowski was founded in 2005, and the development of Startup to a global shopping company and a global shopping platform that works with partnerships with 790,000 retailers, including Walmart Canada, the largest partnership in Omni-Ertail. To date, it has more than 111 million active users.

Wednesday coincides with a strategic landmark of the company, where the CEO said that he does not sell his shares during the public subscription, which is usually seen in this industry as an exit step, but instead it is invested in the long term, indicating confidence in the company’s long -term value. Siemiatkowski says that Klarna’s goal is to compete directly with retail banks, such as JPMorgan Chase, Bank of America, Wells Fargo and Citibank.

index	protection	last	Changing	% Change
Jpm	Jpmorgan Chase & Co.	300.58	+2.75	+0.93 %
Pile	Bank of America.	50.16	-0.12	-0.25 %
WFC	Wales Vargo and Co.	80.30	-0.43	-0.54 %
C	Citigroup Inc.	97.19	-0.14	-0.14 %

“I think there is this demand and that people want something else from their bank. Most people are not very excited about what banks do for them in the past few decades,” he said. “There were competitive banks, but there were no banks ready to do things differently, in my opinion.”

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It is confident that the company can be a strong competitor. Although profitability is achieved only in the United States last year, Siemiatkowski said it is confident that they can maintain this momentum because the Americans are increasingly frustrated by traditional Credit cards.

“The key is that we see that there are many Americans who are very tired of credit cards (and) about their feeling that they are deceiving a lot of debts with a lot of attention,” he said.

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A large part of consumers, according to Siemiatkowski, prefer alternatives to traditional credit cards but still want to reach credit payment options. To meet this request, Klarna began testing its debit card in June, was developed in partnership with Visa and released through Webbank.

The KLARNA card allows consumers to choose immediately payment or postpone payments when needed, whether online or in the store, with more than 150 million traders around the world. The company considers it a more suitable alternative to the consumer for traditional credit cards. Since its launch, Siemiatkowski said that Klarna has had 700,000 Americans who subscribed, and there are still more than 5 million in the waiting list.

index	protection	last	Changing	% Change
Pypel	Paypal Holdings Inc.	65.64	-2.04	-3.01 %
AFRM	Confirm Holdings Inc.	84.87	3.55	-4.01 %

Buy now, I pushed services later such as Klarna and Rivals Afterday, confirmation and PayPal in popularity where consumers search for ways to extend their budgets by pushing interest -free premiums often with economic pressure on families. Traditionally, it was marketed and used in large ticket elements, but Siemiatkowski said that Claarna targets daily spending, from grocery and travel stores to subscriptions like Spotify and Disney+.

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Although Clarna is not immune to credit defects, Simiakovsky said that her losses range from 20 % to 30 % less than the average industry, with the help of The application transparency And relatively small loans, free from about $ 100.

He also said that Klarna can quickly adjust the criteria of lending, making it more intelligent than traditional banks in the recession period.