Klarna Group Plc shares fell below the initial public offering price for the first time on Friday, just weeks after a blockbuster trading debut, as financial technology stocks extended a rout after stronger economic data crushed expectations for deeper interest-rate cuts.
The digital payments firm’s stock fell as much as 7.7% to $38.31, below the $40 IPO price. The shares had rallied 15% in their Sept. 10 trading debut, after the company and some of its backers raised $1.37 billion. The offering was double-digit oversubscribed and priced above the marketed range. Shares of peers Affirm Holdings Inc. and Block Inc. also declined Friday, like Klarna, the stocks were extending at least four-day losing streaks.