(Bloomberg) — Klarna Bank AB’s board has agreed to remove an ally of the firm’s co-founder Victor Jacobsson amid a continued clash at the Swedish buy-now, pay-later firm which is preparing for a potential public offering next year.
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The board has decided to oust Mikael Walther, a confidant of Jacobsson’s, according to a person familiar with the matter who asked not to be identified discussing private information.
The move will require shareholder approval, according to the Financial Times, which first reported the news. A representative for Stockholm-based Klarna declined to comment. Walther didn’t immediately respond to a request for comment.
Klarna was founded in 2005 by Jacobsson and Chief Executive Officer Sebastian Siemiatkowski, whose relationship has soured in recent years over disagreements related to key governance decisions. The two have fought over how the company will go public and how much control its CEO will ultimately have in that entity if it debuts in the US as expected next year, potentially valuing the firm at $20 billion. Although Jacobsson left Klarna in 2012, he has continued to influence Klarna’s strategy through Walther.
Klarna, best-known in the US for its buy now, pay later options, posted a 27% jump in revenue in the first half of this year as consumers increasingly turn to BNPL providers. The company has refocused itself ahead of the planned IPO, shedding businesses and investing in artificial intelligence.
–With assistance from Sarah McBride.
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