Swedish Buy Now, Pay Later (BNPL) platform Klarna announced that it has secured US$ 639 million during a new equity funding round, pushing its post-money valuation to US$ 45.6 billion.

The round was led by SoftBank’s Vision Fund 21, with additional participation from existing investors Adit Ventures, Honeycomb Asset Management and WestCap Group.

Klarna said that the funds will be used to support international expansion and further capture global retail growth.

Klarna’s other investors include Sequoia Capital, SilverLake, Dragoneer, Permira, Commonwealth Bank of Australia, Bestseller Group, Ant Group, Northzone, GIC – Singapore’s sovereign wealth fund – as well as funds and accounts managed by BlackRock and HMI.

As part of the GiveOne initiative established by Klarna earlier this year, 1% of this equity raised will be directed to initiatives supporting planet health.

Sebastian Siemiatkowski, Klarna Founder and CEO said,

“Consumers continue to reject interest-and fee-laden revolving credit and are moving toward debit while simultaneously seeking retail experiences that better meet their needs. Klarna’s more transparent and convenient alternatives align with evolving global consumer preferences and drive worldwide growth.

 

I’m very proud of the investors who are supporting Klarna’s ambition to challenge these outdated models to empower consumers with fair, transparent, and convenient products to help them bank, shop and pay each day.”