Hulu explores selling stake to Time Warner: report

Hulu is looking to sell a stake to Time Warner in a deal that would value the streaming television service at more than $5 billion, the Wall Street Journal reported on Thursday.

Such a deal would also help Hulu compete with powerful rivals Netflix and Amazon, according to the Journal, which cited unnamed people said to be familiar with the matter.

Talks have involved the possibility of Time Warner becoming an equal shareholder in Hulu, alongside Walt Disney Company, 21st Century Fox and Comcast, the Journal reported.

Disney, Comcast, and Fox each own a third of Hulu, but the split would change to 25 percent each if Time Warner joined the fold, according to the Journal.

The deal being discussed values Hulu between $5 billion and $6 billion, the Journal reported.

Such an alliance with Time Warner would not only open the door for cash investment, but could bring with it more content for Hulu to offer viewers.

Time Warner properties include premium cable channel HBO.

Netflix and Amazon have been investing in original shows as well as cutting deals for content to add to their online line-ups.