Iberdrola SA (IBE.MC) Monday denied a report that the Spanish power utility is negotiating a possible tie-up with Spanish natural gas distributor Gas Natural SDG SA (GAS.MC).
"There's no talks in that direction whatsoever," said a spokesman for Iberdrola.
Spanish state-owned newswire Efe reported that managers of Iberdrola and La Caixa are in disagreement over key details of the tie-up, citing financial sources close to the situation.
Speculation of a possible Iberdrola-Gas Natural friendly deal has surfaced in Spanish media during the past few weeks, as earlier talk of a move into Spain by state-controlled Electricite de France (1024251.FR) fades away.