Klarna today announced the closing of a new $800 million financing at a $6.7 billion post valuation. The financing attracted strong support from both existing and new investors and will primarily be used to expand Klarna’s market position in the United States.

Sebastian Siemiatkowski, CEO of Klarna stated,

“It’s a testament to the strength of Klarna’s business that, during the steepest drop in global stock markets in over fifty years, investors recognized our strong position and continued progress in revolutionizing the retail banking industry. Now more than ever businesses need a strong consumer base, a superior product, and a sustainable business model.”

Klarna received strong backing from its existing investors including Sequoia, the founders, Bestseller, Silver Lake, and Commonwealth Bank of Australia. More notably, several entities known for their long-term commitments made their first investments in Klarna. These include Mubadala Investment Company, the $284bn sovereign fund of the UAE, and Canada Pension Plan Investment Board (CPP Investments) which manages over C$539bn.

Post the major closure of the round, Klarna now aspires to allow all of its more than 1000 smaller shareholders to participate on a pro-rata basis in a process that will continue for the coming few weeks.

Sebastian Siemiatkowski, CEO of Klarna continued:

“Klarna is the only fintech in the world that has been profitable for its first 14 years of existence. In 2017 Klarna recorded a 12% EBT margin. The last few years however we have made significant investments as we took the opportunity to transform Klarna into a global player. With the recent shift in investor sentiment we also now shift our focus and look forward to returning to a modus operandi of growth and profitability. The foundation for a global leader has been set.”