Cybersecurity Startup Snyk Valued at $8.5 Billion in New Funding

Cybersecurity startup Snyk is capping two years of intense fundraising with $300 million in new financing that valued the business at $8.5 billion, the company confirmed. Investment manager Sands Capital and Tiger Global Management co-led the round, which comes just six months after a funding round that valued Snyk at $4.7 billion.

As part of the Series F deal, Snyk employees or earlier investors also sold more than $200 million worth of stock to other investors. Before this round, Snyk had raised more than $475 million, largely in the past two years.

Boston-based Snyk says its technology helps developers and security teams at companies including Google, Salesforce and Twilio identify and protect against software vulnerabilities.

New investors in the six-year-old company include Baillie Gifford; Koch Strategic Platforms, the new investment arm operated by Koch Industries; Lone Pine Capital; T. Rowe Price and Whale Rock Capital Management.

Arlington, Virginia.-based Sands Capital, a public stock investor with a VC arm, recently backed HR software provider Gusto at a $10 billion valuation, as well as the Latin American neobank Nubank at a $30 billion valuation.

Snyk charges clients between $2,000 and $50,000 annually depending on the number of developers using the software, according to its website. Snyk says it has 1,200 customers and expects to have about 800 employees by the end of the year.