Microsoft Buys 4% Stake in London Stock Exchange in 10-Year Partnership

A new decade-long strategic partnership between Microsoft and the London Stock Exchange will see $2.8 billion in cloud service spending.

Entrance to London Stock Exchange headquarters, stone building with logo
The London Stock Exchange headquarters. (Photo by Thomas Krych/SOPA Images/LightRocket via Getty Images)

Microsoft (MSFT) is purchasing a 4 percent stake in the London Stock Exchange Group (LSEG), part of a 10-year agreement with the exchange, the company announced today (Dec. 12).

The technology company will purchase the shares from a consortium of Blackstone (BX) and Thomson Reuters for a reported $2 billion.

In return, LSEG will spend at least $2.8 billion on Microsoft cloud services, in addition to migrating its data platform over to the company’s infrastructure.

Scott Guthrie, executive vice president of Microsoft’s cloud and AI group, is also expected to be appointed as a non-executive director of LSEG.

“Bringing together our leading data sets, analytics, and global consumer base with Microsoft’s comprehensive and trusted cloud services and global reach creates attractive revenue growth opportunities for both companies,” said David Schwimmer, CEO of LSEG, in a statement.

Microsoft Buys 4% Stake in London Stock Exchange in 10-Year Partnership