Telecom equipment maker Marconi refused to confirm whether it was in talks to be acquired by Ericsson, as bid speculation naming the larger Swedish rival sent the UK firm's shares to a five-month high on Monday.
"We do not comment on rumours and this is just another rumour," spokesman David Beck said, adding that Marconi had no plans to issue a statement on October 10.
People familiar with the negotiations told Reuters on Sunday that Ericsson was in talks to buy the UK firm and a deal could be announced within weeks.
Britain's Financial Mail newspaper said in an unsourced report the same day that Ericsson saw a total valuation of up to 1.3 billion pounds ($2.3 billion) for Marconi.
Hopes of a bid have helped Marconi's shares recover from a steep fall in April when it lost a much-expected network upgrade contract from its largest customer, BT Group Plc. Marconi has said it is considering all strategic options and has confirmed it is in talks with potential suitors.