America Online is in "advanced talks" with Banco Santander Central Hispano on taking a stake in the Spanish bank's Internet portal Prodigios, a newspaper reported on Thursday.

AOL rival Yahoo! also was in the running as a potential partner in the tourism and entertainment services portal, which is not yet functioning, the financial daily Expansion said without naming its sources.

The portal, which claims to be worth $300 million, was formed last month by hotel group Sol Melia and unlisted publisher Planeta. BSCH later joined as a financial partner.

Expansion said BSCH would reduce its 85 percent stake to roughly 40 percent and become an equal partner with AOL. Sol Melia and Planeta would have about six percent each.

BSCH pledged 270 million euros ($258.1 million) upon joining the project in June. Expansion said AOL would almost match that investment.

A BSCH spokeswoman refused to comment on the report, but another source close to one of the partners confirmed there were talks with AOL and Yahoo!.

"The entrance of a foreign partner is something that was considered from the beginning," said the source, who asked to remain anonymous. "I don't know the status of talks but it's foreseen that the current partners would reduce their holdings if a foreign partner joined."