In response to an earlier rumor suggesting that Apple is in “advanced talks” to buy Imagination Technologies, the Cupertino-based company confirms that it thought about acquiring the UK-based tech company. In fact, they had a few discussions, but Apple has no plans to make an offer at the moment.

Not too long ago, a report from Ars Technica has claimed that the Cupertino-based firm is in advanced discussions regarding the acquisition, citing a source “with the knowledge of the discussions.”

On Tuesday, Apple, which usually does not provide comment on leaks and speculations, has pushed out a statement to kill off the earlier rumor.

“From time to time, Apple talks with companies about potential acquisitions," it says. “We had some discussions with Imagination, but we do not plan to make an offer for the company at this time.”

Apart from being a customer of Imagination, Apple is likewise a minor shareholder of the company. To date, Apple holds about 8.4 percent stake in the firm, based on Thomson Reuters data.

Imagination’s technology, the PowerVR GPU, is employed in Apples mobile A-series system on a chip. The A-series chips had been initially crammed into the iPhone 4 and 4th-generation iPod Touch. The deep relationship between the two firms could likely strengthen Apple’s interest to have more control over Imagination.

“Picking up Imagination Technologies ... would mean that Apple could move GPU design in-house,” says Ars Technica.

It also goes on to say that, while Apple is already working closely with Imagination for the PowerVR GPUs, it could be advantageous for the company to "have the whole thing in-house" and "to be the master of its own destiny."

Following the report on the now denied acquisition, Imagination’s share price jumped by more than 20 percent on Tuesday. However, it immediately fell back down upon Apple’s issuance of its official statement.

In December 2015, rumor had it that Apple was allegedly building its own mobile GPU to replace Imagination's PowerVR.

A report from Fudzilla claimed at the time that the company was working on graphics chips silently, behind the scenes.

A couple of days ago, Imagination announced that it is in the process of restructuring its company. As a result, it is going to lay off a total of 350 employees as it aims to cut its operating costs by next year.