Getty Images and Shutterstock have announced a merger through a 50-50 deal, creating the largest player in the visual content market. According to the official statement, the new company, named Getty Images Holdings, will be valued at approximately $3.7 billion and will continue to be traded on the New York Stock Exchange under the ticker GETY.
The merger aims to expand the content library for clients and offer new opportunities for content creators. The combined company is expected to increase investments in new products and innovations, particularly in improving search technologies, 3D imagery, generative AI, and offering clients a broader range of visual content, including photos, videos, music, and 3D objects. Additionally, the merger is expected to result in cost savings of $150 million to $200 million annually over the first three years after the deal closes.
Craig Peters from Getty Images will remain the CEO of the merged company. The board of directors will consist of 11 members, with six appointed by Getty Images and four by Shutterstock. Mark Getty, the current chairman of Getty Images, will be the chairman of the board.
Under the terms of the deal, Getty Images shareholders will own approximately 54.7% of the combined company, while Shutterstock shareholders will receive 45.3% of the shares on a fully diluted basis.
The deal is expected to close after receiving the necessary regulatory approvals and shareholder approvals from both companies. Additionally, there will be a refinancing of Getty Images' debt obligations.