Europe’s most valuable growth company lost around 85 percent of its value, which indicates investors’ distrust of loss-making start-ups.
Swedish the payment service company Klarna has collected funding of 800 million dollars, or approximately 794 million euros.
With the latest funding round, the company’s value collapsed to $6.7 billion, compared to $45.6 billion a year ago. It is about an 85 percent drop in the company’s valuation.
Klarna the collapse in value is just one example of how investors have lost faith in loss-making growth companies.
According to Klarna, the drop in its value is in line with other peer companies, which have also lost 80-90 percent of their value.
The company already anticipates a downturn in the spring, when it announced that it would lay off about 10 percent of its workforce.
#Growth #companies #payment #service #company #Klarna #collapsed #due #funding #billion #dollars #year #company #worth #billion
/s3/static.nrc.nl/images/gn4/stripped/data114770713-d1be11.jpg)
