Internet security firm Baltimore Technologies has denied a Sunday newspaper report that it was in take-over talks. "The company confirms that it is not in advanced take-over discussions with Computer Associates or any other company," a statement released yesterday said.

The Sunday newspaper re ported that the world's fourth largest software maker, US firm Computer Associates, was talking with Baltimore about a take-over bid. But Computer Associates is the subject of a possible hostile bid itself and is thus unlikely to have been looking elsewhere.

Last week Chantilley, an unlisted British encryption company, made a reverse take-over approach for Baltimore but the Irish firm said it did not view the approach as a formal offer and did not expect it to lead to formal talks.

"While the board of Baltimore Technologies would consider any option that would be in the best interests of shareholders, the focus of the board and senior management team of the company at this time is on delivering the restructuring plan," the firm said in response to the press speculation.

Baltimore announced on July 5th a major restructuring of its business operations and last week parted company with its chief executive Mr Fran Rooney.