Klarna applies to regulators to set up FDIC-backed U.S. bank subsidiary in Utah

According to CNBC, Swedish fintech Klarna said Monday it applied to federal and state regulators to establish a U.S. bank subsidiary, Klarna Bank USA, which would be an Federal Deposit Insurance Corporation-backed institution chartered in Utah if approved. Klarna said the proposed bank would be led by Gary Harding, former CEO of Milestone Bank and Prime Alliance Bank, and that the charter would allow it to bring banking operations in-house across payments, credit and merchant services. Klarna, which went public last September, is trading for about half of its IPO price of $40.