AOL looks to offload UK business

AOL has reportedly appointed Citigroup to find a buyer for its UK operation

AOL's UK internet access division is up for sale, according to media reports today. 

The Time Warner company has already appointed Citigroup to find a buyer for its ISP business in France and Germany, and its UK operation has now been added to the list, according to The Guardian.

AOL refused to confirm or deny the report. AOL is the third largest ISP in the UK, behind BT and the newly merged NTL/Telewest group, and is thought to be looking for a deal that will allow it to continue its content portal in the UK.

The company is reportedly seeking to increase its portal activity and concentrate on the growing market for advertising and search revenues.

Depending on the outcome of Citigroup's review of AOL's European operation, the banking group could suggest an outright sale or partnership.

Google paid $1bn for a five per cent stake in AOL at the end of last year, as part of a wide-ranging advertising deal.

AOL's move follows recent launches of 'free' internet access from Carphone Warehouse and Orange.