Klarna is in talks with banks about selling a portfolio of US "Pay in 4" instalment loans ahead of its planned IPO, according to the Financial Times.
The European BNPL giant is talking to Citigroup, RBC, Nordea, and Société Générale about the potential sale, says the FT, citing sources.
The move would help Klarna free up capital for growth as it seeks to keep investors satisfied ahead of going public later this year.
In October, it offloaded its UK loans book to hedge fund Elliot Advisors in a move designed to free up around £30 billion.
Late last year Klarna finally submitted a draft Registration Statement to the SEC relating to its US IPO, paving the way for a listing at a valuation that could top $20 billion.