MSFT bought 4% stake in LSE. 10 years to work together !
https://www.cnbc.com/2022/12/12/microsoft-buys-near-4percent-stake-in-london-stock-exchange-and-launches-10-year-partnership.html
Precursor : please read above linked-article and form your own opinion first ok. Thanks.
The subject matter says its all. Quite impactful I may add.
Afterall how often do you have two Giants in their own rights, oceans apart, converging to forge a working relationship that will last minimally 10 years. Not that often !
To show commitment, Microsoft $Microsoft(MSFT)$ will take a minor stake in LSEG (4%) and in returned Scott Guthrie, Microsoft Executive VP will be appointed as a non-executive director of LSEG $LONDON STOCK EXCHANGE GROUP PLC(LSEG.UK)$ .
What does Microsoft have to offer that LSEG could not refuse ?
Based on Microsoft's long history from products to platform as a service, below are its offerings :
- Windows line of operating system
- Microsoft office suite
- Internet Explorer
- Edge web browser
- Xbox video game console
- Microsoft Surface touchscreen PCs.
- Microsoft Cloud platform.
It is believed, the Cloud expertise would be the main attraction.
It will help to transform London Stock Exchange (LSE) that holds the "oldest" stock exchange accolade, ranked 8th largest exchange in the World (by market cap) into a modern day, technically vested Exchange that will remain nimble & relevant for decades to come.
Apart from getting LSEG backbone infrastructure up to speed, its suite of software and equipment could be deployed to ensure seamless workings and integration; as a total solution approach for LSEG's customers and investors.
A win-win solution in the making !
The only question left to ask is -
how will the stock prices of LSEG and Microsoft behave when the respective market opens for trading today 12 Dec 2022 ?
No prize for guessing ! Its obvious no ?
Your thoughts ? Please share in the below Comments section ok. Thanks.
Please "Like" this post ok ? Thanks. The rating is important to me.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
Pls "Like" this post. The rating is important to me. Tks
👏👏