Shutterstock and Getty Images waive debt modification condition for merger

Shutterstock, Inc. (NYSE:SSTK), a profitable company with a market capitalization of $776 million and strong dividend yield of 6.13%, announced Thursday that it has agreed with Getty Images Holdings, Inc. to waive a key debt modification condition previously required for the closing of their planned merger-of-equals transaction. According to InvestingPro analysis, Shutterstock maintains a GOOD financial health score, suggesting solid fundamentals as it enters this strategic merger. The information is based on a press release statement filed with the Securities and Exchange Commission.

According to the filing, the original merger agreement, signed January 6, 2025, required Getty Images to amend or refinance its existing term loans and senior notes so that their maturity would be extended to no earlier than February 19, 2028. This was known as the Existing Debt Modifications Condition. Shutterstock enters this agreement from a position of strength, with InvestingPro data showing the company operates with a moderate debt-to-equity ratio of 0.51 and has achieved 14.2% revenue growth over the last twelve months.

As of Thursday, both companies have agreed to waive this condition, meaning it is no longer required for the merger to proceed.

The filing also noted that Getty Images completed a comprehensive refinancing of its existing term loans in February 2025. Through its borrower subsidiaries, Abe Investment Holdings, Inc. and Getty Images, Inc., the company secured a new $580 million five-year U.S. dollar term facility and a new €440 million five-year euro term facility.

The merger remains subject to additional closing conditions, but the removal of the debt modification requirement marks a change in the terms under which the transaction may be completed.

Shutterstock’s common stock trades on the New York Stock Exchange under the symbol SSTK.

In other recent news, Shutterstock reported record financial results for the second quarter of 2025, with both revenue and earnings surpassing analyst expectations. The company’s revenue and EBITDA exceeded consensus expectations by 8% and 23%, respectively. Despite this strong performance, Citizens JMP maintained a Market Perform rating on Shutterstock. In another development, the UK’s Competition and Markets Authority has launched an investigation into the proposed merger between Getty Images and Shutterstock. The CMA has set a deadline of October 20, 2025, for its Phase 1 decision on the merger. These recent developments could have significant implications for Shutterstock’s future operations and market positioning.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.