AI-powered global payments network and shopping assistant, Klarna is parting ways with Klarna Checkout as the firm has announced a consortium of investors is taking the checkout solution forward in a different direction.
Launched in 2012, Klarna Checkout set a new standard for online shopping in Northern Europe. Since then though, its creators have taken the company in a different direction. They are now focusing on flexible payment methods in conjunction with multiple service providers. Nonetheless, the checkout solution still has over 40 per cent market share in Sweden and over 20 per cent across the Nordics.
This transaction allows Klarna to concentrate on its new offerings and image while ensuring that the Klarna Checkout business continues to grow under new dedicated management.
Sebastian Siemiatkowski, co-founder and CEO, Klarna
“Klarna Checkout is very dear to me, and the impact it’s had on Klarna’s journey is immense. I’m so pleased it’s finding a new home, with owners who are carefully handpicked to continue to create outstanding value for our merchant partners. I look forward to working closely with them as they establish the next phase for KCO”, says Sebastian Siemiatkowski, CEO and co-founder of Klarna.
Signing the papers and an official farewell
The buyer consortium is led by Kamjar Hajabdolahi, CEO of BLQ Invest. It also includes Systematic Growth, founded by Ashkan Pouya, and serial entrepreneur Martin Randel. They focus on investing in and growing innovative Swedish companies. Hajabdolahi and his BLQ Invest are known for their ‘buy and build’ strategy.
The buyers will officially assume ownership of Klarna Checkout on 1 October 2024. Both parties are focused on a smooth transition. They will continue to work together under a distribution partner agreement, meaning that Klarna’s payment methods will continue to be offered in the checkout.
Kamjar Hajabdolahi, CEO and founding partner at BLQ Invest
The acquisition follows a thorough structured process where Deutsche Bank served as the sole financial advisor. To find the right future custodian for KCO, Klarna spent more than a year engaging with dozens of the most prominent private equity and potential strategic buyers in the world.
“We are thrilled to acquire Klarna Checkout and our ambition is to build on the solid foundation established by Klarna and take KCO to the next level, continuously evolving the product to meet the needs of our merchant partners and drive the future of e-commerce”, says Kamjar Hajabdolahi, CEO and founding partner at BLQ Invest. “We look forward to engaging with our merchant partners, in addition to presenting our plans and roadmap for the continued evolution of KCO.”
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