Russian services conglomerate Sistema (SSAq.L: Quote, Profile, Research) declined on Wednesday to confirm a newspaper report that it is in talks to acquire a 10-20 percent stake in Germany’s Deutsche Telekom (DTEGn.DE: Quote, Profile, Research).

“I am not confirming this information,” Sistema spokeswoman Irina Potekhina said.

The Financial Times Deutschland, quoting sources familiar with the matter, reported that Sistema had proposed acquiring the stake in Deustche Telekom in return for a holding in its own telecoms business.

Among Sistema’s top assets are Mobile TeleSystems (MBT.N: Quote, Profile, Research), Russia’s mobile market leader. Deutsche Telekom used to own a minority stake in MTS but sold out after deciding the investment was not strategic.

Source- http://today.reuters.com