We theoretically investigate a possibility of an η ′ d bound state and its formation in the γd → ηd reaction. First, in the fixed center approximation to the Faddeev equations we obtain an η ′ d bound state with a binding energy of 25 MeV and width of 19 MeV, where we take the η ′ N interaction with a coupling to the ηN channel from the linear σ model. Then, in order to investigate the feasibility from an experimental point of view, we calculate the cross section of the γd → ηd reaction at the photon energy in the laboratory frame around 1.2 GeV. As a result, we find a clear peak structure with the strength ∼ 0.2 nb/sr, corresponding to a signal of the η ′ d bound state in case of backward η emission. This structure will be prominent because a background contribution coming from single-step η emission off a bound nucleon is highly suppressed. In addition, the signal can be seen even in case of forward η emission as a bump or dip, depending on the relative phase between the bound-state formation and the single-step background.