Snoop Dogg is becoming a Klarna investor
Calvin Broadus, better known as the rapper Snoop Dogg, will acquire shares in the Swedish-based alternative finance company Klarna from an existing investor as he becomes the face of Klarna’s new advertising campaign.
Klarna announced that Snoop Dogg is transforming his image, albeit temporarily, into “Smooth Dogg” as the new front man of a major advertising campaign the company is undertaking to promote its installment lending products. Several commercials have been filmed and are currently viewable on YouTube, including The Coronation, Longest Toast and Silky Bed.
"I've been looking for an opportunity to expand my tech investment portfolio to Europe and seeing the way Klarna operates and how they challenge the status quo, I think it’s a match made in heaven. I’m very excited about this partnership,” Snoop Dogg said in a press release.
Klarna has made its mark in Europe and is now in the U.S. with its installment lending model, similar to PayPal Credit and Affirm. Klarna counts additional investors such as Visa and General Atlantic. In addition to online installment lending, which has become increasingly popular among millennials, Klarna added subscription-based financing in 2017 in a partnership with TaylorMade Golf.
“Snoop is not only a rap legend, but also a successful businessman, with a genuine interest in tech, retail and e-commerce. He has a great understanding of consumer behavior and is exceptional when it comes to branding and marketing,” Sebastian Siemiatkowski, Klarna's CEO, said in the press release.
According to Crunchbase, a website that tracks investment in private fintech startups, Klarna has raised over $680 million in 13 funding rounds since its founding in 2005. Klarna’s most recent funding round was in October 2018; it raised $20 million and valued the company at $2.5 billion, placing the business clearly in the unicorn category of startups.
Snoop Dogg did not respond to a request for comment made through his agent, Stampede Management, by time of publication.