Shutterstock and Getty Images: A $3.7 Billion Visual Content Powerhouse

In a strategic move that's set to shake up the visual content industry, Shutterstock and Getty Images have announced a merger of equals, creating a premier visual content company with an enterprise value of approximately $3.7 billion. The combined entity, Getty Images Holdings, Inc., will continue to trade on the New York Stock Exchange under the ticker symbol "GETY". This merger is expected to generate significant synergies, drive product innovation, and cater to the evolving needs of creative, media, and advertising industries.



The combined company will offer a content library with greater depth and breadth, providing customers with a more comprehensive range of visual content products across still imagery, video, music, 3D, and other asset types. This broader portfolio will enable Getty Images Holdings to better serve its customers and deliver exceptional value to partners, contributors, and stockholders. Furthermore, the merger is expected to produce value for the customers and stockholders of both companies by capitalizing on attractive growth opportunities, accelerating product innovation, realizing significant cost synergies, and improving cash flow.

One of the key strategic initiatives for the merged company is to drive product innovation through greater investment in innovative content creation, expanded event coverage, and customer-facing technologies and capabilities such as search, 3D imagery, and generative AI. This focus on innovation will enable Getty Images Holdings to maintain a competitive edge in the fast-evolving visual content market and better serve its customers.

The combined company's strengthened balance sheet and increased cash flow generation will enable it to capitalize on new opportunities and create value for customers and stockholders. By deleveraging the combined balance sheet through the transaction and driving more robust cash flow, Getty Images Holdings will be well-positioned to accelerate debt repayment, reduce borrowing costs, and invest in innovative content creation, expanded event coverage, and customer-facing technologies.

The merger is expected to generate significant cost synergies, with run rate synergies across SG&A and CAPEX between $150 million and $200 million achieved within the first three years post-close. Approximately two-thirds of these synergies are expected to be delivered within the first twelve to twenty-four months. These synergies will be driven by the combination of complementary portfolios, expanded opportunities for content creators, and a strengthened balance sheet with greater cash flow generation.

In conclusion, the merger of Shutterstock and Getty Images is a strategic move that will create a $3.7 billion visual content powerhouse, well-positioned to meet the evolving needs of creative, media, and advertising industries. With a broader content library, expanded product offerings, and a focus on innovation, Getty Images Holdings is poised to drive growth and create value for customers and stockholders. The combined company's strengthened balance sheet and increased cash flow generation will enable it to capitalize on new opportunities and maintain a competitive edge in the fast-evolving visual content market.