Galileo International

(GLC)

said it will explore strategic alternatives that could include a leveraged buyout or sale of the company.

Investors reacted positively to the news, as the company's shares recently traded up $3.56, or 21.9%, to $19.81.

TST Recommends

The electronic travel reservation company said its board has started to search for a financial adviser to explore and evaluate alternatives and expects to name one shortly. The company said its board agreed that it is in the best interest of shareholders to evaluate all options, but indicated that no assurance could be given that a transaction would take place.

Earlier this month, Galileo said it would meet analysts' third-quarter earnings forecast despite lower-than-expected worldwide bookings. Six analysts on average expect the company to report earnings of 70 cents a share, according to

First Call/Thomson Financial

.

Shares of Galileo closed Thursday at $16.25. The 52-week high is $33.31 and the low is $13.44.