diff --git a/CHANGELOG b/CHANGELOG
index d1ecfb40350a4f2643707b9f9ac9e72928139d02..762f1bfe4128c5d11244ac7c232e950b2b7f039b 100644
--- a/CHANGELOG
+++ b/CHANGELOG
@@ -6,6 +6,7 @@ v 7.12.0 (unreleased)
   - Update Asciidoctor gem to version 1.5.2. (Jakub Jirutka)
   - Fix resolving of relative links to repository files in AsciiDoc documents. (Jakub Jirutka)
   - Use the user list from the target project in a merge request (Stan Hu)
+  - Fix upgrader script (Martins Polakovs)
 
 v 7.11.2
   - no changes
diff --git a/lib/gitlab/upgrader.rb b/lib/gitlab/upgrader.rb
index 0570c2fbeb53c11d0e091636ac18d02138c8a22d..cf040971c6eef009f47291ec33c42260799aa16d 100644
--- a/lib/gitlab/upgrader.rb
+++ b/lib/gitlab/upgrader.rb
@@ -43,10 +43,15 @@ module Gitlab
     end
 
     def latest_version_raw
+      git_tags = fetch_git_tags
+      git_tags = git_tags.select { |version| version =~ /v\d+\.\d+\.\d+\Z/ }
+      git_versions = git_tags.map { |tag| Gitlab::VersionInfo.parse(tag.match(/v\d+\.\d+\.\d+/).to_s) }
+      "v#{git_versions.sort.last.to_s}"
+    end
+
+    def fetch_git_tags
       remote_tags, _ = Gitlab::Popen.popen(%W(git ls-remote --tags https://gitlab.com/gitlab-org/gitlab-ce.git))
-      git_tags = remote_tags.split("\n").grep(/tags\/v#{current_version.major}/)
-      git_tags = git_tags.select { |version| version =~ /v\d\.\d\.\d\Z/ }
-      last_tag = git_tags.last.match(/v\d\.\d\.\d/).to_s
+      remote_tags.split("\n").grep(/tags\/v#{current_version.major}/)
     end
 
     def update_commands
diff --git a/spec/lib/gitlab/upgrader_spec.rb b/spec/lib/gitlab/upgrader_spec.rb
index ce3ea6c260aa66659caa758c328cb00f8a3a9fcf..8baa1662f38f49b9450b760e7a71fb739a5465e2 100644
--- a/spec/lib/gitlab/upgrader_spec.rb
+++ b/spec/lib/gitlab/upgrader_spec.rb
@@ -20,5 +20,20 @@ describe Gitlab::Upgrader do
       upgrader.stub(current_version_raw: "5.3.0")
       expect(upgrader.latest_version_raw).to eq("v5.4.2")
     end
+
+    it 'should get the latest version from tags' do
+      upgrader.stub(fetch_git_tags: [
+        '6f0733310546402c15d3ae6128a95052f6c8ea96  refs/tags/v7.1.1',
+        'facfec4b242ce151af224e20715d58e628aa5e74  refs/tags/v7.1.1^{}',
+        'f7068d99c79cf79befbd388030c051bb4b5e86d4  refs/tags/v7.10.4',
+        '337225a4fcfa9674e2528cb6d41c46556bba9dfa  refs/tags/v7.10.4^{}',
+        '880e0ba0adbed95d087f61a9a17515e518fc6440  refs/tags/v7.11.1',
+        '6584346b604f981f00af8011cd95472b2776d912  refs/tags/v7.11.1^{}',
+        '43af3e65a486a9237f29f56d96c3b3da59c24ae0  refs/tags/v7.11.2',
+        'dac18e7728013a77410e926a1e64225703754a2d  refs/tags/v7.11.2^{}',
+        '0bf21fd4b46c980c26fd8c90a14b86a4d90cc950  refs/tags/v7.9.4',
+        'b10de29edbaff7219547dc506cb1468ee35065c3  refs/tags/v7.9.4^{}'])
+      expect(upgrader.latest_version_raw).to eq("v7.11.2")
+    end
   end
 end