While unofficial sources in both companies indicated that talks between the two companies have been going on for some time, and the deal is close to fruition, the official line remains one of denial. When contaced, Rediff's Bombay-based chief of marketing, Rohit Verma-who is believed to be engaged in the negotiations-told The Financial Express that: "We don't have anything to comment on at this point of time."

Gaurav Dalmia, who has a controling stake in Thinkindia.com,said: ``We have had some tactical arrangements and conversations with several companies. We will talk to anyone on anything.''

When pressed to specifically answer whether Rediff had made an offer for Thinkindia.com, he said: ``There is no acquisition or merger offer from Rediff-right now. When and if something is there we will ourselves announce it.''

Driving the rumour-mill however, is a press release headline posted on Rediff's US edition, which says, ``Silicon Valley start-up to merge with rediff.com - a local Indian portal for Indians in the US." However, efforts to access the detailed press release were futile. Interestingly, visitors to "http://develop.thinkindia. com:2840" are automatically routed to the US edition of Rediff.com. When confronted with the two facts, both companies feigned ignorance.