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AOL Set to Unload Social Media Site Bebo to Criterion Capital

  • Report

AOL (AOL) has dug out of an opening bell hole and is trading solidly in the green up 1.8% after a report that it is close to selling social networking Web site Bebo to Criterion Capital. 

The stock stumbled out of the gate opening down 23 cents at $21.41 and hit a low of $21.07 in the first hour of trading, before steadily paring losses. It broke into the green just before mid-day and is now just off its high of $22.15. 

Terms are unknown but the Wall Street Journal reports that "people familiar with the situation" say the price is a small fraction of the $850 million AOL paid for the site two years ago. The company had previously said it would shut the site if it couldn't find a buyer.

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