This is a detailed view of our acquisition process. For more information about our acquisitions approach visit our acquisitions handbook.
The corporate development team conducts a comprehensive screening of our industry ecosystem in order to identify potential acquisition opportunities. Below is an overview of our target funnel.
|Funnel||Volume / Year|
|DevOps ecoystem companies||15,000+|
|Sourced Pipeline: generate pipeline of companies operating in a DevOps segment relevant for GitLab from three sources:||1,000|
|–> 1. Third-party databases||800|
|–> 2. Inbound (companies approach us or PMs refer us)||100|
|–> 3. Pro-active (Identify key areas with Product leadership)||100|
|–> Review funding status, headcount and headquarters location|
|–> Prioritize potential softlanding deals (<$1M deal consideration) in countries without GitLab hiring restrictions|
|–> Prioritize by product priority|
|Reach out for intro calls||400|
|Intro calls with priority targets||300|
|Qualified Pipeline: Share relevant call summary with product management lead to confirm interest in setting up initial call between product management lead and company||100|
|Product and Tech Call||50|
|Early Diligence, Team Interviews, Business Case||30|
|Confirmatory due diligence|
|Signed Term Sheet / Confirmatory Due Diligence||15|
|Deal Signing, Closing & Integration||10|
The process is comprised of four key stages:
#acq-company_name) and add the internal GitLab document to the top. Add EVP Product and the relevant product and engineering leaders to help with the initial assessment of the opportunity.
The Corporate Development team is responsible for overseeing and facilitating the integration of the acquisition post-closing, working closely with Legal, Product, Engineering, and Finance.
The integration process is outlined in our acquisition integration page.
An acquisition team will consist of the following GitLab functional team members:
To assign the product manager, after the product call or as soon as it's clear which product category the features will be implemented into, contact the category product director for the assignment.
To assign the engineering team member, contact the engineering manager of the relevant category for assignment.
|Corporate Development||1. Main POC for acquired team 1. Identify potential areas for integration 1. Create case for acquisition and customer transition story 1. Integration||1. Business case with deal structure|
|Product||1. Outline current product features to be implemented into GitLab 1. Outline potential future functionalities to be built into GitLab after the integration period||1. Integration strategy|
|Engineering||1. Technical diligence||1. Code quality review 1. Integration strategy validation - feasibility and timeline|
|Finance||1. Lead financial diligence 1. Validate business case and deal structure|
|Legal||1. Review entity, assets and existing agreements 1. Evaluate sunset and customer transition path||1. Term Sheet 1. Acquisition agreement|
|People Ops Business Partner||1. Lead the compensation review 1. Lead the interview process during the early and due diligence stages to completion|
At GitLab, we treat all acquisition discussions as confidential and share any information internally on a need-to-know basis.
To ensure confidentiality during the acquisition process, we assign code names to each potential transaction once we enter the Early Diligence stage.
To maintain confidentiality, we follow the following guidelines:
name herebefore inviting people to the channel or related docs."