Getty Images Holdings and Shutterstock have announced a merger, creating a new visual content company valued at US$3.7 billion.

Craig Peters, CEO of Getty Images, will lead the combined entity, which will trade under the ticker symbol GETY.

Shutterstock shareholders can opt for US$28.84 per share in cash, 13.67 Getty shares for each Shutterstock share, or a mix of cash and stock.

The companies expect to achieve cost savings of between US$150 million and US$200 million from the merger.