A securities class action has been filed in the USDC –E.D.N.Y. against Klarna Group plc (KLAR) (“Klarna” or the “Company”) on behalf of all persons and entities that purchased or otherwise acquired Klarna securities pursuant and/or traceable to the registration statement and related prospectus (collectively, the “Registration Statement”) issued in connection with Klarna’s initial public offering (the “IPO” or “Offering”).

Defendant Klarna purports to be a “technology-driven payments company, with operations spanning multiple countries.” Further, Klarna states that it “connect[s] consumers and merchants with comprehensive payment solutions and tailored advertising solutions[.] Our payment solutions provide consumers with more control and flexibility over their payments.”

On or about March 14, 2025, Klarna filed with the SEC a Registration Statement on Form F-1, which in combination with subsequent amendments on Form F-1/A (the “Amended Registration Statement”), would be used for the IPO.

On September 10, 2025, Klarna filed with the SEC its final prospectus for the IPO on Form 424B4 (the “Prospectus”), which forms part of the Registration Statement. In the IPO, Klarna sold 34,311,274 shares at $40.00 per share.

The Complaint alleges that the Registration Statement contained false and/or misleading statements and/or failed to disclose that:

(1) Defendants materially understated the risk that its loss reserves would materially go up within a few months of the IPO, which they either knew of or should have known of given the risk profile of many individuals agreeing to Klarna’s buy now, pay later (“BNPL”) loans; and

(2); as a result, Defendants’ public statements were materially false and misleading at all relevant times and negligently prepared.

As of December 22, 2025, Klarna stock closed at $31.31 per share, below the IPO price.

If you purchased Klarna securities pursuant and/or traceable to the Registration Statement issued in connection with the IPO, and would like to receive more information or join the action, please enter your contact information below for a FREE consultation and click “Submit Your Information”.

About Lowey Dannenberg

Lowey Dannenberg is a national firm representing institutional and individual investors, who suffered financial losses resulting from corporate fraud and malfeasance in violation of federal securities and antitrust laws. The firm has significant experience in prosecuting multi-million-dollar lawsuits and has previously recovered billions of dollars on behalf of investors.