(Reuters) – Shutterstock Inc soared as much as 32 percent in its market debut, a day after the online stock photography provider priced its shares above its expected range.
The New York-based company had priced its $76.5 million offering at $17 per share, 21 percent above the midpoint of its expected range.
Shutterstock shares were up 30 percent at $22.11 on the New York Stock Exchange in morning trade, valuing the company at more than $700 million.
Shutterstock is looking to tap into a growing demand for online images that has also caught the eye of big names like private equity firm Carlyle Group LP, which acquired Getty Images for $3.3 billion in August.
As the media industry shifts away from print, demand for online images is expected to rise.
Shutterstock, which has more than 35,000 approved image contributors, owns a library of photographs and illustrations that customers can license and download through subscription deals.
As of 2011, the company had more than 550,000 customers who contributed to its revenue, Shutterstock said in a regulatory filing.
The company, which recorded revenue of $78.1 million for the six months ended June 30, is backed by private equity and venture capital firm Insight Venture Partners.
Chief Executive Jonathan Oringer, who owns almost two-third of the company, founded Shutterstock in 2003. It currently has more than 20 million images.
Post the offering, Oringer would hold about 57 percent stake in the company.
Shutterstock competes with other online providers of images such as iStockphoto, Fotolia, Dreamstime and Corbis Corp.
(Reporting by Avik Das and Ashutosh Pandey in Bangalore; Editing by Sriraj Kalluvila)
Image Credit: Shutterstock.com
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