Street Calls of the Week
NEW YORK - Getty Images, Inc., a subsidiary of Getty Images Holdings, Inc. (NYSE:GETY), announced Monday plans to offer $628.4 million in senior secured notes due 2030 in a private offering, subject to market conditions. The company, currently valued at $833.77 million in market capitalization, has shown volatile stock performance with a 12% gain over the past six months despite broader market challenges.
The notes will be secured by a first-priority interest in an escrow account where the proceeds will be deposited. Getty Images intends to use approximately $350 million of the proceeds to pay fees, expenses, and cash consideration to Shutterstock shareholders in connection with their previously announced merger. The remaining funds will be used to refinance certain Shutterstock debt and cover offering expenses. According to InvestingPro data, Getty Images maintains a strong gross profit margin of 73%, though its current ratio of 0.7 indicates some pressure on short-term liquidity.
The merger between Getty Images and Shutterstock aims to create what the company describes as a premier visual content company. If the merger is not completed by October 6, 2026, or if the agreement is terminated, the notes will be subject to a special mandatory redemption at 100% of the issue price plus accrued interest.
The notes will be senior secured obligations of Getty Images, Inc. and will be jointly guaranteed on a senior secured first lien basis by the same guarantors that back the company’s outstanding senior secured notes and secured credit facility.
As these notes have not been registered under the U.S. Securities Act, they are being offered only to qualified institutional buyers under Rule 144A and to non-U.S. persons under Regulation S.
Getty Images Holdings serves customers globally through its Getty Images, iStock, and Unsplash brands, working with nearly 600,000 content creators and more than 355 content partners. With annual revenue approaching $947 million, the company shows potential despite current challenges. For deeper insights into Getty Images’ financial health and growth prospects, including exclusive ProTips and comprehensive analysis, check out the detailed Pro Research Report available on InvestingPro.
This article is based on a press release statement from Getty Images Holdings, Inc.
In other recent news, Getty Images Holdings Inc. released its second-quarter 2025 earnings, showing mixed results. The company reported earnings per share of $0.05, falling short of the $0.06 forecast by analysts. However, Getty Images slightly exceeded revenue expectations, bringing in $234.9 million compared to the projected $234.5 million. Additionally, Getty Images has initiated an exchange offer for its existing $300 million of 9.750% Senior Notes due 2027. These will be exchanged for new 14.000% Senior Notes due 2028, with an early tender premium available to eligible holders. In merger news, the UK’s Competition and Markets Authority has launched an investigation into the proposed merger between Getty Images and Shutterstock. The authority has set a deadline of October 20, 2025, for its Phase 1 decision on the deal. These developments indicate ongoing strategic maneuvers by Getty Images in the financial and competitive landscape.
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