Klarna raises $650 million at a $10.6 billion valuation

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Fintech startup Klarna has raised a mega-round of funding led by Silver Lake. The company is raising $650 million at a post-money valuation of $10.65 billion. Klarna  says it is now the highest-valued private fintech company in Europe following today’s funding round.

In addition to Silver Lake, GIC (Singapore’s sovereign wealth fund) and funds and accounts managed by BlackRock and HMI Capital are also participating in today’s funding round. Merian Chrysalis, TCV, Northzone and Bonnier have bought out existing shareholders.

Klarna’s main product is an alternative payment method on e-commerce platforms. It lets you buy now and pay later over three or four installments with 0% interest. It has been quite popular in different European markets as many customers don’t have credit cards and/or don’t want to pay the fees involved with revolving credit lines.

By Romain Dillet.

Full story at Tech Crunch.