Time Warner announced plans last week to spin off its AOL division by the end of the year, a widely expected move that caps one of the most disastrous mergers of the decade.
Time Warner, which has said for months it 99 acres data was working to finalize the separation of the companies, said the deal had already been approved by its board and was awaiting the green light from U.S. telecom regulators.
Following the restructuring, AOL will regain its independence and return to the stock market, basing its revenue on advertising on its portals, which are very popular with American users, although they have suffered a decline due to the advance of Google.
"We believe a separation would be the best outcome for both Time Warner and AOL," Time Warner Chief Executive Jeff Bewkes said in a statement.
"The separation will be another critical step in the restructuring of Time Warner that we began early last year, allowing us to focus to an even greater degree on our core businesses," he said.