Updated: Dow Jones Forms JV To Run Stock-Indexing Unit In $600 Million Deal

Update: Dow Jones has issued a release saying it is forming a joint venture with CME Group to operate a global financial index services business. The business is valued at $607.5 million. The new joint venture will also raise roughly $613 million in third-party debt which will be used to pay a $607.5 million distribution to Dow Jones. The arrangement gives CME 90 percent of the Dow Jones Industrial Index.

In a statement, DJ CEO Les Hinton said that by handing operations over to CME, the parent of the Chicago Mercantile Exchange, the News Corp (NYSE: NWS). unit will have the “opportunity to tighten its focus on its news and business information products while preserving and protecting an iconic business brand.” Taken together, the distribution received from the JV with CME Group, along with the previous sale of the company