CME Group Inc. and the Brazilian Mercantile & Futures Exchange S.A. said late Tuesday that they have signed a non-binding letter of intent for a cross-investment between the entities.

CME Group will acquire an equity stake of about 10% in the BM&F, in exchange for for an equity stake of about 2% percent in CME. The transaction is expected to be completed after the close of BM&F's initial public offering, which is expected to occur this year. The agreement would be the first-ever cross-equity arrangement between a U.S. and Latin American exchange.

Financial terms were not disclosed.