McGraw-Hill, CME in talks to merge index units-source

NEW YORK, Sept 29 (Reuters) - McGraw-Hill Companies Inc (MHP.N) is in advanced talks with CME Group Inc (CME.O) to merge the S&P Index business with CME's Dow Jones Indexes, a source familiar with the situation said on Thursday.

Under the terms of the deal being discussed, McGraw-Hill would own the majority of the joint venture and manage it, while CME would own about 25 percent, the source said.

The deal, however, has not been finalized and the terms could change, the source said.

McGraw-Hill and CME declined to comment on the news, which was first reported by the Wall Street Journal. (Reporting by Paritosh Bansal; editing by Carol Bishopric)