AOL shares up on going private report

Stock Market Predictions

(Global Markets) - AOL Inc (AOL.N) shares rose more than 7 percent on Wednesday, a day after New York Post reported that the Internet company's management may be considering to take the company private.

AOL has huddled with bankers in recent days to discuss options, including early-stage discussions to focus on a price that may entice AOL's management to consider such a transaction, the newspaper reported citing sources.

Last week, AOL had confirmed it has an investment banker and a law firm on retainer.

Teams from investment banking firm Allen & Co and law firm Wachtell, Lipton, Rosen & Katz were reported to have met AOL executives last Wednesday.

AOL, which Time Warner (TWX.N) spun off after a disastrous decade-long merger, is trying to regain its status as one of the world's most popular online destinations by investing in efforts such as hyperlocal news network Patch and buying the Huffington Post.

AOL shares were trading up 80 cents at $16.11 in morning trade on Wednesday on Nasdaq after touching a high of $16.44 earlier in the session.

(Reporting by Supantha Mukherjee in Bangalore; Editing by Joyjeet Das)