Microsoft has agreed to take a 4% stake in the owner of the London Stock Exchange in an attempt to assist in the transition of moving data and trading platforms onto the cloud.

London Stock Exchange Group PLC., which owns the London Stock Exchange, will be spending $2.8 billion over the next decade on Microsoft products to improve the success of the transition.

The LSEG Chief Executive Officer David Schwimmer stated that “We are building substantial new products together on an entirely different scale… We will be investing together. We will be designing products together. We will be going to markets together.”

The deal highlights recent developments between finance and tech in which the financial sector has become increasingly dependent on high-end data management and technological software.

Since the announcement of the deal, the share price for LSEG increased by 1.8%.

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‍Source: Bloomberg