By Daily Mail (U.S.) | Created at 2025-04-04 16:06:31 | Updated at 2025-04-05 07:20:03
15 hours ago
Klarna, the buy-now-pay-later giant has pulled out of its planned US stock market debut following Donald Trump's tariff announcements, according to reports.
The Swedish company was set to launch its initial public offering (IPO) on Monday but has now halted its plans, according to the Wall Street Journal.
StubHub, the ticketing marketplace has also pulled out of its planned IPO next week.
Klarna's speciality lending, embedded in online retail checkout pages, allows consumers to spread out purchases in smaller chunks over the course of several months in exchange for interest.
Klarna was targeting a valuation of $15 billion after listing on the New York Stock Exchange, a leap from its last valuation of $6.7 billion made in 2022.
The decision comes as Klarna's biggest US rival Affirm saw its stock slide 15 percent on Friday in the broader stock market sell off.
For the second day in a row, trillions of dollars was wiped off the value of US stocks — a blow that will also hit ordinary Americans whose retirement savings, including 401(K) are tied to the market.
Nintendo also announced it is pausing the preorder of the Switch 2 in the US as it attempts to adjust to the reality of Trump's tariffs.
Klarna's speciality lending allows consumers to spread out purchases in smaller chunks
The company previously announced it would launch the pre-orders on April 9.
'Pre-orders for Nintendo Switch 2 in the US will not start April 9, 2025 in order to assess the potential impact of tariffs and evolving market conditions,' Nintendo told DailyMail.com.
'Nintendo will update timing at a later date. The launch date of June 5, 2025 is unchanged.'
It comes as markets tumbled in reaction to Trump's sweeping trade announcements on Wednesday.
The S&P 500 and Nasdaq were both down more than 4 percent at midday, as it looks increasingly likely that the tariffs will cause a global recession.
