Logo of Yahoo. [File Photo: 163.com]

It's being reported that Yahoo is considering selling its struggling internet business and separating all of its traditional services from its valuable investment in Chinese e-commerce company Alibaba.

Shares in Yahoo rose more than 5 percent on Wednesday after the possible sale was announced.

Yahoo's core services include Yahoo Mail, plus its news and sports websites.

Almost all of Yahoo's market capitalization of 34 billion US dollars is ascribed to its stakes in Alibaba and Yahoo Japan.

Reports say a separate Alibaba stake would be expected to be more highly valued by the market.

The company's board is now meeting amid a debate about the future of Yahoo.