UPDATE 1-Swiss Re in talks with SoftBank over minority stake sale

(Adds background)

ZURICH, Feb 7 (Reuters) - Swiss Re is in preliminary discussions with Japan's SoftBank Group on a potential minority investment in the Swiss reinsurer, the Zurich-based group said on Wednesday.

The statement followed a report in the Wall Street Journal that the two groups were in advanced talks on a deal that could be worth $10 billion or more.

The report, citing sources familiar with the matter, said the deal under discussion was for the purchase of up to a third of Swiss Re's shares at a premium.

"Swiss Re informs that it is engaged in preliminary discussions with SoftBank Group Corp regarding a potential minority investment in Swiss Re," the world's second largest reinsurer said.

"Discussions are at a very early stage. There is no certainty that any transaction will be agreed, nor as to the terms, timing, or form of any transaction," Swiss Re added. (Reporting by Brenna Hughes Neghaiwi; Editing by Toby Chopra and Alexander Smith)