Benzinga | Nov 30, 2020 10:34PM EST

GitLab Valued At $6B In Secondary Offering: CNBC

Git-repository services provider GitLab was valued at around $6 billion in a recent secondary shares sale, CNBC reported Monday -- citing people familiar with the matter.

GitLab was planning to undergo an initial public offering in November this year, which was postponed to 2021 due to macroeconomic setbacks from the COVID-19 pandemic.

What Happened GitLab is allowing employees to offload their positions in the company stock in a secondary offering, which forms the basis for the $6 billion valuation. The company's recent enterprise estimate shows a 110% increase from the $2.7 billion valuation in September last year. At the time, the DevOps lifecycle management company raised $268 million from Goldman Sachs Group Inc (NYSE:GS) and Iconiq Capital LLC as a part of its Series E financing.

Why Does It Matter GitLab's web-based tool offers a platform where developers can share and manage software codes. CNBC lists companies like Nvidia Corp (NASDAQ:NVDA) and Siemens AG (OTC:SIEGY) as some of GitLab's customers.

GitLab's closest market peers include Atlassian Corporation PLC (NASDAQ:TEAM) and GitHub, the latter of which was acquired by Microsoft Corporation (NASDAQ:MSFT) in June 2018 for $7.5 billion.

Photo by Gabriel Mazetto on Wikimedia