Shares of American International Group Inc. jumped Tuesday after a media report said the company is considering an initial public offering for its Asian life insurance unit, AIA.

Citing anonymous sources, Reuters reported that AIG's board is planning to meet Wednesday in New York to discuss the possibility of taking AIA public.

AIG was planning to sell AIA to British insurer Prudential PLC for $35.5 billion before the deal collapsed last month. An IPO for the unit is now seen as a possible alternative for AIG, which has been selling assets to raise money to pay back a $182.5 billion federal bailout.

Analysts surveyed by Thomson Reuters predict AIG will earn 99 cents a share on $21.62 billion in revenue for April through June.

Shares rose $2.42 cents, or 6.8 percent, to close at $37.99 Tuesday. The stock has ranged from $21.54 to $45.90 over the past year.