Southampton have denied issuing an ultimatum to Scunthorpe boss Nigel Adkins over the managerial vacancy at St Mary's.
Iron chairman Steve Wharton claimed on Thursday morning Saints had withdrawn their offer to Adkins after he refused to resign from his position at Glanford Park.
But in a statement on Thursday afternoon, Southampton claim they are still in talks with other candidates to replace Alan Pardew, who was axed last month.
"The club wish to make it clear that it is continuing its discussions with a number of potential candidates for the post of first-team manager," read the statement.
"Contrary to some highly misleading comments published this morning, the club has made no ultimatums, has not made any approaches without appropriate permission, and is fully aware that appropriate compensation payments become due where the candidate managers are currently under contract. The club has acted in an entirely professional manner and will continue to do so."
With Adkins now unlikely to switch clubs, former Hull boss Phil Brown is believed to be the frontrunner for the Saints post.