(Bloomberg) -- Klarna Bank AB’s valuation has been slashed to $6.7 billion in its latest funding round that will pay for further expansion in the US. 

The buy-now-pay-later giant said it raised $800 million from new and existing investors, according to a statement Monday. Its new valuation is down from the $45.6 billion it achieved in June 2021, with Klarna downgrading its ambitions several times during the latest talks with investors. 

“It’s a testament to the strength of Klarna’s business that, during the steepest drop in global stock markets in over fifty years, investors recognized our strong position and continued progress in revolutionizing the retail banking industry,” Chief Executive Officer Sebastian Siemiatkowski said in the statement. 

Existing investors who backed the funding round include Sequoia, Bestseller, Silver Lake, and Commonwealth Bank of Australia. New investors included Mubadala Investment Co. and Canada Pension Plan Investment Board.

The Swedish lender, which offers buy-now, pay-later credit to more than 147 million global active users, posted an operating loss of 2.54 billion krona ($245 million) in the first quarter, and 6.58 billion krona last year. It has 400,000 retail partners, including Nike Inc., Ikea, Sephora and Expedia Group Inc, its website shows. The firm said Monday it has almost 30 million customers in the US, with volumes more than tripling in a year. 

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