Two of the largest global providers of visual content, Getty Images and Shutterstock, unveiled plans on Tuesday to merge, creating a behemoth in the stock photography and media industry. The new entity, to be called Getty Image Holdings, will be valued at approximately $3.7 billion, according to a joint statement.
The merger aims to capitalize on growing demand for visual content across various industries, with projected cost savings of $150 million to $200 million over three years after completion.
Strategic Move Amid Rising Demand
“With the rapid rise in demand for compelling visual content across industries, there has never been a better time for our two businesses to come together,” said Getty Images CEO Craig Peters, who will helm the new company.
“By combining our complementary strengths, we can better address customer opportunities while delivering exceptional value to our partners, contributors, and stockholders,” he added.
Details of the Merger
Under the terms of the deal, Getty Images will pay $331 million in cash and issue 319.4 million of its shares to Shutterstock shareholders. Once finalized, Getty shareholders will control about 54.7% of the new entity, while Shutterstock shareholders will hold 45.3%.
Getty Images chairman and co-founder Mark Getty will continue in his role, overseeing the company alongside Peters.
Background and Market Presence
Getty Images, established in 1995, has undergone multiple ownership changes. It returned to the stock market in 2021 in a deal valuing it at $4.8 billion. Despite its market presence, the agency has grappled with debt burdens incurred under previous ownership.
Shutterstock, a rival known for its vast library of stock images and media, complements Getty’s portfolio, and the merger is expected to solidify their position as a leader in the visual content industry.
The combined company will remain listed on the New York Stock Exchange, poised to better meet market demands and deliver long-term shareholder value.
