From lender to network: Klarna’s $26bn forward-flow gambit

If you only read the headlines, you’d think Klarna’s story is a cut-price IPO. The Swedish BNPL pioneer is again lining up a U.S. listing, this time at roughly $13–$14 billion—a far cry from its $45–46 billion peak in 2021. But the more consequential development is in the plumbing: a multi-year forward-flow deal with Nelnet that will let Klarna sell up to $26 billion of newly originated U.S. “Pay in 4” receivables on a rolling basis. The shift turns Klarna—operationally, if not legally—from a balance-sheet lender into a distribution platform with steadier funding and thinner risk. That, more than the sticker price on day one,

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