SAN FRANCISCO (AP) — Private equity firm Apollo Global Management is buying online photo publishing company Shutterfly for $51 per share.
Apollo will pay $1.74 billion for the 20-year-old company, which became popular offering its users prints and photobooks of their favorite shots. But demand for that type of service has declined as people opt to share photos online through Facebook and other social networks.
Redwood City, California-based Shutterfly’s stock closed at $50.25 on Monday — and was trading as high as $94.28 per share a year ago.
Ryan O’Hara, the former CEO at real estate company Move Inc., will become Shutterfly’s new chief executive.
Shutterfly became popular during a time when printing photos meant a trip to the supermarket and often a dayslong wait. The company’s popularity swelled by selling an array of photo-clad gifts including mugs, calendars and canvasses.