MEXICO CITY Mexican retailer Chedraui (CHDRAUIB.MX) said on Thursday that it is not in talks to buy smaller rival Comercial Mexicana COMEUBC.MX.
Shares of Comerci jumped nearly 4 percent on media reports of acquisition talks, but fell back after Chedraui's statement. The shares were up 2.87 percent at 34.08 pesos at 9:48 a.m. local time (1448 GMT).
"Several sources agreed that there are talks between Comercial Mexicana and Grupo Chedraui," Excelsior daily columnist Dario Celis wrote, without elaborating.
Comerci restructured its debt in 2010 after heavy losses on currency derivatives pushed it to default in late 2008. It sold its stake in Costco Wholesale Corp's (COST.O) Mexican unit in June.
"No type of negotiations to acquire Comercial Mexicana are taking place," Chedraui, Mexico's No. 3 retailer, said in a filing with the Mexican stock exchange.
Wal-Mart de Mexico WALMEXV.MX and Organizacion Soriana (SORIANAB.MX) are Mexico's top two retailers.
(Reporting By Gabriela Lopez and Lizbeth Salazar; editing by John Wallace)