Visual-content provider Getty Images filed for Chapter 11 bankruptcy on Wednesday, as it formalised restructuring plans that it disclosed over a week ago as part of its move to end up being private.
Last week, Getty said it would file for bankruptcy, a major move after its planned merger with rival Shutterstock collapsed due to high debt and rising competition from images generated by artificial intellgience.
Parties related to the Getty family and Koch Equity Development, will own the entire company after the restructuring is done. The latter committed to provide up to $533 million in new equity to Getty.
The company said it will continue operating throughout the process, and it would have no impact on partners, customers, employees, vendors and content contributors. It expects the restructuring to be over by year-end.
In a filing at the Delaware bankruptcy court, the company listed both estimated assets and liabilities in the range of $1 billion to $10 billion. Getty competes with the likes of Reuters News and the Associated Press in providing photos and videos for editorial use. It said financing from Koch Equity Development of up to $143 million would support the restructuring process