Snyk reaches $7.4bn valuation after latest funding round

The vendor cut 198 staff in October and axed 30 jobs in July less than a year after raising $530m war chest for European expansion

Cybersecurity unicorn Snyk has closed a $196.5m Series G investment to drive product innovation as the vendor focuses on its "developer productivity."

The group said the new war chest will fuel its "continued efficient growth" in 2023, alongside product innovation.

This will allow it to expand, both organically and inorganically through strategic acquisition, its Developer Security Platform, Snky said.

The funds further validates the company's developer security approach as well as increasing industry demand for this growing new market category, it claimed.

"In 2022, I'm proud that Snyk achieved a 100 per cent year on year increase in revenue as well as net revenue retention of over 130 per cent," said Snyk CEO, Peter McKay.

"In this challenging macroeconomic environment, it is more critical than ever for global enterprises to increase their developer productivity and be able to continue their pace of innovation securely.

"In 2023, we look forward to leveraging this latest investment to continue enhancing our platform and help more global enterprises reap the benefits of DevSecOps."

The round was led by Qatar Investment Authority and included participation from new investors Evolution Equity Partners, G Squared and Irving Investors as well as existing investors boldstart ventures, Sands Capital and Tiger Global.

Layoffs at Snyk

In July the vendor said it was axing at least 30 jobs in a move McKay called an "organisational update to better serve our customers" as it adapted to "looming economic headwinds".

Then in October the group downsized its workforce further with plans to cut it by 14 per cent, affecting 198 members of staff, including some in Europe.

McKay again blamed "continued headwinds facing the global economy" for the layoffs.