Getty Images’ £3bn Shutterstock merger captures watchdog’s eye
The $3.7bn (£2.9bn) merger between Getty images and Shutterstock has caught the attention of the UK’s competition watchdog.
The deal, which was first announced in January, has the potential to monopolise the stock image market for creative, media and advertising industries.
At the time of the announcement, Getty Images said the merger was expected to deliver $150m (£199m) to $200m (£159m) in annual cost synergies within three years and to be accretive to earnings and cash flow by year two.
Getty also pledged, along with Shutterstock, to deliver cost savings, boost content offerings and expand innovation in the AI age.
CMA to look at Getty-Shutterstock merger
Earlier this month, Shutterstock’s shareholders approved the merger with 82 per cent voting in favour.
Speaking then, Shutterstock’s CEO Paul Hennessy, said: “We are very pleased that our stockholders recognise the compelling rationale of this transaction and look forward to the successful completion of our merger with Getty Images.
“Our complementary strengths will allow us to better serve customers while also delivering exceptional value to our partners, contributors and stockholders in a fast evolving and competitive environment.”
If the merger gains the required regulatory approvals, the deal would be expected to close in the second half of 2025.
In a statement, the watchdog said: “The Competition and Markets Authority (CMA) is considering whether it is or may be the case that this transaction, if carried into effect, will result in the creation of a relevant merger situation under the merger provisions of the Enterprise Act 2002 and, if so, whether the creation of that situation may be expected to result in a substantial lessening of competition within any market or markets in the United Kingdom for goods or services.
“The CMA is issuing this ‘invitation to comment’ to allow interested parties to submit to the CMA any views on the impact that the transaction could have on competition in the UK.
“The CMA has not yet launched its formal investigation into this transaction.”
Last month Getty Images reported a revenue of $939.3m for its latest financial year, a rise of 2.5 per cent.