Germany's ThyssenKrupp denied a media report saying the industrial conglomerate is about to sign a $3.4 billion contract to sell submarines to Saudi Arabia.

Weekly newspaper Bild am Sonntag reported on Sunday that Saudi Arabia would purchase five so-called Class 209 submarines for about 2.5 billion Euros ($3.37 billion), citing unnamed German government sources.

A spokeswoman for ThyssenKrupp said the company was not in talks on such a sale.

“There are absolutely no projects on submarines for Saudi Arabia and therefore no talks,” she told Reuters. “The article lacks any foundation,” she added.

Bild am Sonntag said that Saudi Arabia plans to spend 12 billion Euros to acquire as many as 25 submarines over the longer term, to be assembled by ThyssenKrupp's Marine Systems division at shipyards in northern Germany.