Today, Klarna Checkout, also known as KCO, becomes the independent company Kustom.
With 24,000 e-merchants and an annual transaction volume exceeding 150 billion SEK, Kustom is now establishing itself as the leading digital checkout solution in the Nordic market. The company also becomes one of the largest digital checkout providers in Europe.
Earlier this summer, it was announced that KCO was being acquired by a group of investors, including Kamjar Hajabdolahi, BLQ Invest, and several other investors. A number of key individuals from Klarna Checkout are also joining the new company and becoming shareholders.
Through the spin-off from Klarna, Kustom's primary target group will be e-merchants. The new company will expand its range of payment methods, with Klarna remaining a cornerstone of the offering. However, Kustom will not offer its own payment methods or credit solutions, but will instead focus exclusively on optimizing the checkout offering and developing related services that are in demand by e-merchants.
"Our full focus will now be on our merchants and continuing to develop this great product based on their needs. We have an incredibly strong customer base, we are profitable, and we have secured financing for strategic acquisitions, which provides an excellent foundation. In the coming months, we will put all our efforts into further developing our infrastructure to expand our offering in 2025, including the introduction of new payment methods," says Kamjar Hajabdolahi, CEO of Kustom Checkout.
Kustom also announces a significant strategic partnership with the U.S.-based payment company Stripe. Stripe's platform will enable the swift integration of new features and payment methods for e-merchants, with new functionalities being rolled out progressively during the first half of 2025.
“We have ambitious plans to enhance our offering. As the name suggests, Kustom aims to provide a fully customizable service – in terms of functionality, design, and user experience – for both merchants and end customers. For example, merchants will be able to tailor the checkout to reflect their own visual identity and customize the checkout experience to fit their business, including payment methods, currencies, markets, shipping options, and more. We will also increase accessibility by making new investments in our customer support. Essentially, we want to stay closer to the ground and listen to our customers," says Jesper Eriksson, Chief Commercial Officer at Kustom and former Country Manager for Klarna.
As a leading player in both the Nordic and European markets, Kustom sees natural opportunities for expansion – both geographically and in terms of its offering. Kustom is already available in 170 countries, but there are significant opportunities for growth in key markets such as the United Kingdom and Germany. The company also does not require capital market funding to finance further expansion.
Kustom will continue its collaboration with Klarna, offering Klarna’s payment methods in the future.
In addition to Jesper Eriksson, who will become Chief Commercial Officer and was previously the Country Manager for Klarna in Sweden, key personnel at Kustom will include Rasmus Fahlander as CPO, formerly Senior Product Director responsible for Klarna Checkout, Alexander Olsson as CFO, previously finance director for the U.S at Klarna, and Kim Westerlund as Director of Operations, who was previously Head of Merchant Operations at Klarna.