TMX Group Ltd. has signed a deal to buy a 21 per cent stake in VettaFi Holdings LLC for $234 million.

U.S.-based VettaFi is a privately owned data, analytics, indexing and digital distribution company.

TMX chief operating officer Jay Rajarathinam says the investment includes an agreement that will accelerate TMX's global index strategy and increase the depth and value of data-driven insights the company provides to clients.

The transaction closed Monday.

TMX Group chief executive John McKenzie and Rajarathinam will join the VettaFi board, effective immediately.

TMX Group is the operator of the Toronto Stock Exchange and other businesses that provide a trading, clearing, depository and other services.

This report by The Canadian Press was first published Jan. 9, 2023.