Klarna Group has entered a multi-year forward-flow agreement to sell up to $26 billion of buy-now, pay-later loans to Nelnet Inc., enabling Klarna to free up capital and scale its US “pay-in-4” product ahead of a potential New York IPO. Under the deal, Nelnet will purchase loans before origination, adding to its portfolio of cash-flowing assets while leveraging its expertise in loan servicing and payment processing. The move follows Klarna’s similar UK debt sale agreement with Elliott Investment Management and aligns with its strategy to offload loan streams globally while retaining servicing responsibilities.

Klarna Selling Up to $26 Billion of BNPL Loans to Nelnet