Klarna inks deal with DoorDash ahead of IPO

Swedish buy now, pay later (BNPL) lender Klarna announced a partnership with US food delivery service DoorDash to offer its payment services.

The move comes as Klarna gears up for an IPO and marks DoorDash’s first BNPL deal in the US, providing users with interest-free payment plans for their orders.

Customers ordering food on the app can choose Klarna to pay in full, split payments into four interest-free installments or defer payments to match their paydays.

The fintech company experienced rapid growth last year, with revenue rising 24% to $2.81 billion. It boasts over 675,000 merchants across 26 countries, and its IPO is much anticipated.

According to CNBC reports, Klarna will be the exclusive BNPL provider for Walmart-backed payments app OnePay.