Buy-now-pay-later giant Klarna’s revived plans for a $14bn stock market debut is set to provide a boost to long-standing investor Chrysalis Investments (CHRY ).

The Swedish firm plans to list on the New York Stock Exchange, marking its second attempt this year after its initial IPO plan was thwarted by US trade tariffs and a downturn in tech which dulled investor appetite to invest in fintech businesses.

Klarna confirmed the IPO price is expected to be between $35 and $37 per share – or £26 to £27 – and it is hoping to raise up to $1.27bn (£900m). Of those shares, 5.56m will be offered by the company, while the remaining shares will be put forward by existing shareholders selling their stock.

The share price range implies a valuation between $13bn and $14bn, which although impressive, is far less than its 2021 peak when it raised cash at a valuation of $46bn – a figure that tumbled to just shy of $7bn just a year later.

The return to form, although not peak form, is still good news for Chrysalis, the £893m portfolio of UK unquoted companies, which first invested in Klarna in 2019 when it had a valuation of $5.5bn. At the end of March, Chrysalis valued its stake in Klarna at £125.7m, accounting for 15.2% of the portfolio.

The shares have fallen 7% over the past five days as rumours of Klarna’s valuation swirled.

The credit group is the second largest position in the portfolio after challenger bank Starling, which makes up 32.8% of the portfolio. 

Klarna reported a 15% revenue increase year-on-year to $701m during the first quarter, with the biggest growth recorded in the US market. It also extended its integration with payment infrastructure provider Stripe.

In Chrysalis’ latest factsheet, managers Nick Williamson and Richard Watts highlighted the number of commercial relationships Klarna has signed since late 2024 and said the Stripe deal is ‘evidence of [Klarna’s] potential to drive growth over coming quarters’.

‘The company highlights that the deals struck with JPMorgan Payments, Worldpay, and Nexi are all expected to drive further growth in merchant numbers,’ they said.

Largest holding Starling has been a standout performer for Chrysalis this year, with the value of the position increasing from £271m to £384m in the second quarter. This was down to the market placing value on its banking-as-a-service technology platform Engine for the first time.

Chrysalis has been contacted for comment.