According to Reuters, the report, which appeared on the El Confidential news site, has also been dismissed by MasMovil.
Quoting unnamed sources, the report added that MasMovil was working with Goldman Sachs and had made a non-binding offer of €6 billion for Vodafone Spain.
This was rejected by Vodafone, which asked for €8 billion.
MasMovil has expanded significantly in recent years thanks largly to acqusitions financed by Goldman Sachs.
It has a market value of €2.95 billion, while Vodafone, which has seen its revenues recently fall in Spain, is worth around €50 billion.
Vodafone and MasMovil, along with Telefonica and Orange, are the leading providers of telecom services in Spain.