NEW YORK — — Shares of Yahoo Inc. and Microsoft Corp. rose in premarket trading Wednesday as the Wall Street Journal reported Microsoft has talked to other media companies about teaming up to buy Yahoo's search business.

The paper reported Microsoft has spoken to News Corp., Time Warner Inc. and others about a way to complete the proposed deal, which was first announced Feb. 1. Microsoft ultimately withdrew a $47.4-billion (U.S.) bid for Yahoo in May.

The Journal suggested Microsoft would buy Yahoo's Internet search business, and the rest of the company would be combined with another outlet, such as News Corp.'s MySpace or Time Warner's AOL.

The talks were described as preliminary, and, citing sources familiar with the talks, the Journal indicated Microsoft may be having difficulty finding a partner.

In premarket trading, shares of Yahoo climbed $1.89, or 9.4 per cent, to $22.09. The stock finished at $20.20 Monday, and is trading at its lowest levels since late January. Microsoft shares gained 17 cents to $27.04.

Calls to both Microsoft and Yahoo were not immediately returned.