(Reuters.) Klarna’s CEO stated to Reuters that he worries about short-term public market focus and activist hedge fund tendencies to create corporate direction. He said however, that his company plans to become public one day.

Klarna https://www.reuters.com/markets/funds/payments-firm-klarnas-jan-sep-losses-grow-soured-credits-2021-11-26, which allows shoppers to buy online through its merchant partners and settle their dues in installments, became Europe’s most valuable startup in March and was valued at $46 billion https://www.reuters.com/business/payments-firm-klarnas-valuation-rises-46-billion-after-fundraising-2021-06-10 after a funding round in June – higher than several of the region’s major banks.

The company, which was established in 2005, is one of the most prominent players in global “buy Now, Pay Later (BNPL), with more than 90 million active users in 17 different countries. Visa Inc (NYSE:), Permira Private Equity and Sequoia Capital, are just a few of its backers.

In an interview on Wednesday broadcast at the Reuters Next conference, Sebastian Siemiatkowski, CEO of the company, stated that given its success it was inevitable that it would eventually be a public entity.

He said, “I just hope for Klarna, that when we go public there will be a strong enough brand for the company… like you’ve seen with someone like [Tesla Inc CEO Elon] Musk or [Amazon.com Inc founder] Jeff Bezos where it seems almost like no one reads the quarterly reports.”

He expressed concern about hedge funds’ involvement, which can provide value but also have a limited understanding of the industry and potential opportunities for a company. This could lead to “very foolish decisions.”

He said, “Unfortunately we will have to make public one day. With that worry still in mine stomach.”

Twitter Inc (NYSE:)’s longtime CEO, Jack Dorsey, who relinquished his post https://www.reuters.com/business/media-telecom/twitter-ceo-jack-dorsey-expected-step-down-cnbc-2021-11-29 earlier this week, in 2020 faced calls from Elliott Management Corp to step down, after the hedge fund argued he was paying too little attention to Twitter while also running Square Inc (NYSE:).

Silver Lake, Bestseller Group Dragoneer Ant Group, Ant Group, and Atomico are also Klarna’s investors.

Siemiatkowski said that the fast-growing BNPL sector must be regulated providing the policies are designed for market competiveness and promotion.

Due to pandemic-related lockdowns, shoppers are turning to online payments platforms. This has led to a boom in demand for financial technology businesses. PayPal Holdings Inc Square and NASDAQ expand into the BNPL industry through acquisitions.

Regulations in the sector are focusing their attention on marketing practices that they consider inappropriate. British lawmakers have called for an urgent regulatory overhaul of BNPL fintech.

Siemiatkowski stated that implementing such rules can lead to a market destabilization, which in turn will result in consumers losing their purchasing power.

To watch the Reuters  Next conference please register here https://reutersevents.com/events/next