Getty Buys Jupiterimages for $96M
Stock photo industry continues consolidation.
Digital photograph and online media powerhouse Getty Images announced its plans to acquire Jupitermedia Corp.’s online images business, Jupiterimages, for $96 million in cash, the company said Thursday.
“The digital content market is expanding, and the customers of both Getty Images and Jupiterimages will benefit from the combination of these businesses,” Getty co-founder and CEO Jonathan Klein said in a statement. “Combining Jupiterimages’ product with Getty Images’ extensive media assets and global distribution will further enhance Getty Images’ offerings and provide more relevant content to both companies’ customers while extending the presence of the Jupiterimages brand to customers around the world.”
Getty says it will absorb Jupiterimages’ “technology, licensing expertise, content, business processes and services” but will maintain the company’s brand and Web site.
Jupitermedia expects to incur a non-cash loss of approximately $95 million upon the closing of the transaction, the company said in a separate statement.
While the deal awaits approval of the companies’ shareholders, Jupitermedia chairman and CEO Alan Meckler—along with other stockholders who hold roughly 35.9 percent of the company’s outstanding stock—has recommended that its shareholders vote in favor of the transaction, the company says.
In July 2007, Jupitermedia—which also owns online networks Internet.com, EarthWeb.com, DevX.com and Graphics.com—snagged New York-based media community and creative job listing Web site Mediabistro.com for $23 million.
Earlier this year, Getty Images was acquired by private equity firm Hellman & Friedman for $2.4 billion.