TMX Group Limited announced that it has made a strategic investment in VettaFi Holdings LLC, a US-based, privately owned data, analytics, indexing, digital distribution, and thought leadership company.
VettaFi cultivates a data-driven platform, “built to empower and educate the modern financial advisor, asset manager and institutional investor.” TMX Group has “acquired approximately 21% of the common equity of VettaFi for US$175 million, or approximately CAD$234 million.”
The transaction “closed January 9, 2023.”
Jay Rajarathinam, Chief Operating Officer, TMX Group, said:
“We are excited to announce a significant investment in VettaFi, which includes a commercial agreement that will accelerate TMX’s global index strategy and increase the depth and value of data-driven insights we provide to clients around the world. VettaFi is a dynamic and growing index, ETF data and related digital distribution business, and we look forward to working together to explore ways to combine TMX Datalinx’s data sets and capabilities with VettaFi’s comprehensive services and expertise to further enhance our offerings.”
VettaFi provides “a comprehensive suite of global indices through its index factory, robust ETF services including ETF trends and analytics, a global ETF database, and distribution.”
In addition to providing interactive online tools and research, VettaFi reportedly “offers asset managers an array of indexing and digital distribution solutions to innovate and scale their businesses.”
Leland Clemons, CEO of VettaFi, remarked:
“We are thrilled to forge this partnership with TMX, combining VettaFi’s data-driven indexing, analytics, and digital platform, and TMX’s global scale and TMX Datalinx business. Together we’ll seek out new innovative opportunities for investors of all sizes around the world to thrive, by creating new products and digital communities and transforming traditional distribution.”
John McKenzie, Chief Executive Officer, TMX Group and Mr. Rajarathinam will “join the VettaFi Board of Directors, effective immediately.”
Evercore served “as exclusive financial advisor” to TMX Group, and WilmerHale LLP “acted as legal counsel to TMX Group.”