From CNBC: 2025-03-17 07:14:00

Klarna secures exclusive partnership with Walmart for buy now, pay later loans, taking the deal from Affirm. Klarna to provide loans through Walmart’s fintech startup OnePay, with rates from 10% to 36%. The new product set to launch in the coming weeks and be scaled across all Walmart channels by year-end.

Deal with Walmart is a significant win for Klarna as it prepares for highly-anticipated IPO. Klarna’s valuation is now around $15 billion, nearly matching Affirm’s public market value. Affirm, led by Max Levchin, has seen stock fluctuate since its 2021 IPO, with shares down 18% this year.

Walmart’s OnePay, backed by Ribbit Capital, valued at $2.5 billion, has over 3 million active customers generating revenue of $200 million annually. Walmart sees OnePay as key in serving underserved customers. OnePay’s move to partner with Klarna will help accelerate its conversion of Walmart customers into fintech app users.

Americans held a record $1.21 trillion in credit card debt in Q4 of last year, driving the need for alternative financing options. OnePay’s push into consumer lending is expected to offer users a range of financial services, including potential future offerings like a branded credit card. Walmart CFO John David Rainey looks forward to expanding into revolving credit.

Read more: Klarna, nearing IPO, wins fintech partnership from Affirm