Getty Images, the largest stock photo archive, has been sold to private equity firm the Carlyle Group for $3.3 billion, according to Bloomberg, Reuters, and other sources. The sale comes three months after Hellman & Friedman, the private equity firm that has owned Getty Images since 2008, began preparations to sell the stock agency.
According to a statement released today by the Carlyle Group, Getty co-founders Jonathan Klein and Mark Getty will invest “significant equity” in the company.
Hellman & Friedman was reported to have paid $2.4 billion to buy Getty in 2008. According to news reports back in May, the firm was hoping to get as much as $4 billion for the agency. (Full disclosure: Hellman & Friedman also owns Nielsen, parent company of PDN.)
In the past year, Getty Images has taken several cost-cutting measures. These included introducing new terms to its contracts with photographer/contributors, cutting back royalties it pays to photographers, and telling contributors that rights-managed images that had not sold well would be moved to royalty-free collections, while the royalty-free images would be sold as part of subscription packages. Through a statement, Getty Images told PDN that changes to its contributor contracts were needed “so that more content can be used in more ways that help our business meet current and future customer needs and grow sales.”
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