Shares in Pilkington slipped from session highs on Tuesday as a source close to the glassmaker said it was not in takeover talks with Japan's Nippon Sheet Glass, quashing market rumours of a bid.
"There is really nothing going on," the source said.
The Japanese firm has often been mooted as a possible buyer for Pilkington as it owns a stake in the UK firm.
Pilkington (PILK.L: Quote, Profile, Research) shares were up 3.9 percent at 132 pence by 10:35 a.m., falling from a session high of 134-1/2p.
A spokesman for Pilkington declined to comment.