Swedish buy now, pay later outfit Klarna is looking to raise $500 million in a funding round that would double its valuation to $10 billion, according to a report from Reuters.
After a massive $460m fundraise last year, Klarna claims about 85 million customers and 235,000 merchant partners.
Earlier this year, Klarna acquired Italian BNPL firm Moneymour and launched a savings account for German consumers using online deposit marketplace Raisin.
However, the firm has been burning cash in its attempts to break out of its home market, with US expansion plans proving a particular drain. The firm reported a $93 million loss in 2019 (from a $10 million profit the year before) as the scale of its ambitions hit the bottom line.
The new cash will go to a renewed effort to break into the United States, where the company reported two million downloads of its app in 2019.
Klarna plans to raise just over $500 million from a mix of old and new investors, sources told Reuters, adding that a deal will likely be announced in the coming days.