Law Offices of Howard G. Smith reminds investors of the upcoming February 20, 2026 deadline to file a lead plaintiff motion in the case filed on behalf of investors who purchased Klarna Group plc (“Klarna” or the “Company”) (NYSE: KLAR) securities pursuant and/or traceable to the registration statement and related prospectus issued in connection with the Company’s September 2025 initial public offering (the “IPO”).

IF YOU ARE AN INVESTOR WHO SUFFERED A LOSS IN KLARNA GROUP PLC (KLAR), CONTACT THE LAW OFFICES OF HOWARD G. SMITH TO PARTICIPATE IN THE ONGOING SECURITIES FRAUD LAWSUIT.

Contact the Law Offices of Howard G. Smith to discuss your legal rights by email at howardsmith@howardsmithlaw.com, by telephone at (215) 638-4847 or visit our website at www.howardsmithlaw.com.

What Happened?

On September 10, 2025, Klarna conducted its IPO, selling 34.3 million shares at $40 per share.

Then, on November 18, 2025, Klarna released its third quarter 2025 financial results, revealing that its provision for credit losses spiked by 39% due to “changes in . . . market and product mix,” and, “in particular an increased share of the U.S. market in [its] GMV [Gross Merchandise Volume].”

On this news, Klarna’s stock price fell $3.25, or 9.3%, to close at $31.63 per share on November 18, 2025, thereby injuring investors.

What Is The Lawsuit About?

The complaint filed in this class action alleges that Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) Defendants materially understated the risk that its loss reserves would materially go up within a few months of the IPO, which they either knew of or should have known of given the risk profile of many individuals agreeing to Klarna’s buy now, pay later (BNPL) loans; and (2) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.

If you purchased or otherwise acquired Klarna securities pursuant and/or traceable to the IPO, you may move the Court no later than February 20, 2026 to ask the Court to appoint you as lead plaintiff if you meet certain legal requirements.

Contact Us To Participate or Learn More:

If you wish to learn more about this class action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact us:

Law Offices of Howard G. Smith,

3070 Bristol Pike, Suite 112,

Bensalem, Pennsylvania 19020,

Telephone: (215) 638-4847

Email: howardsmith@howardsmithlaw.com,

Visit our website at: www.howardsmithlaw.com.

To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.

View source version on businesswire.com: https://www.businesswire.com/news/home/20251226829717/en/