Fairfax Media is reportedly seeking advice from Macquarie Capital on how to sell its real estate classifieds business Domain.
According to a report in the Australian Financial Review the company is being advised on the move by Macquarie Capital and the new business will be run by Domain chief executive Anthony Catalano.
A company spokesman declined to comment.
Fairfax Media's real estate division delivered a 40 per cent increase in its earnings to $120 million for owner Fairfax Media in 2015-16.
It was the biggest contributor to the company's total earnings of $283 million, with the rest coming from metropolitan and regional newspapers, Macquarie Media's radio stations, and New Zealand media.
Fairfax has been dogged for years by rumours it is preparing to sell Domain because its earnings are growing while the company's traditional print and radio divisions are shrinking.
After strong speculation that the company would cease Monday to Friday publishing on the Sydney Morning Herald and The Age, Fairfax chief executive Greg Hywood told staff last week he expected the company to retain its daily print titles for "some years yet".
Fund manager and shareholder Alex Waislitz of Thorney Opportunities has publicly argued in favour of Fairfax selling the more profitable Domain, saying it could be worth up to $4 billion.
Fairfax publishes BusinessDay and The Australian Financial Review. It is due to report its half-year financial results on Wednesday.
At Fairfax's annual general meeting late last year, Mr Hywood told investors that Domain had suffered from a "temporary blockage" of slow listings early in the financial year.
