Senior executives of telecommunications company AT&T and media conglomerate Time Warner have discussed various business strategies including a possible merger in recent weeks, Bloomberg reported on Thursday, citing people it said were familiar with the matter.

Time Warner shares twx jumped 4.7% in regular trading and extended gains slightly after hours. AT&T shares t slipped 1.8%.

Neither side has yet hired a financial adviser, Bloomberg said.

Time Warner declined to comment. AT&T could not be immediately reached for comment.

AT&T has been seeking to transform itself into a media powerhouse, most recently buying satellite TV provider DIRECTV.

Time Warner has a market value of about $65 billion. AT&T has a market value of about $238 billion.