AOL (NYSE: AOL) is mulling its options, including a possible combination with rival Yahoo (Nasdaq: YHOO) and has reportedly hired financial advisers to help in the process.

    Sources close to Yahoo have said the company isn't not seeking nor is it reviewing takeover proposals.

    The Wall Street Journal reported that AOL has not made an official offer to Yahoo, but the paper added that AOL's advisers have been outlining ideas about a potential deal to Yahoo.

    Options discussed include combining AOL and Yahoo's online businesses and selling Yahoo's Asian business to return capital to shareholders, the Journal reported.

    The deal would hinge on Yahoo selling its 40% stake in China's Alibaba and its 35% interest in Yahoo Japan.

    AOL has been an active buyer of online media assets this year as it seeks to evolve beyond the dying dial-up Internet service business.

www.todayisp.com

Todaynic.com International Limited