Carphone Warehouse is offer about Â£450 million(â‚¬568 million) for the British arm of Italian broadband operator Tiscali, a Reuters report said.
A Carphone Warehouse spokesman said he was unaware of any offer for Tiscali's assets. Earlier this year, Tiscali didn't include Carphone Warehouse on its list of potential buyers, although the British company had expressed interest.
Tiscali put itself up for sale earlier this year, but missed a self-imposed June 30 deadline to clinch a deal, the Reuters report said.
Press reports have named rival Italian broadband provider Fastweb, controlled by Switzerland's Swisscom as another potential buyer of Tiscali.
Earlier this month, Telecom Italia Chief Executive Franco Bernabe said the company might be interested in buying 'minor assets' from Tiscali.