The Australian wine company McGuigan Simeon Wines has said it cannot explain the recent sharp rise in its share price and that no takeover approach has been received by the company.

A rise in the company's share price from A$2.37 (US$1.78) on 21 September to $2.81 on 25 September triggered an enquiry from the Australian Stock Exchange. In its response to the Australian Stock Exchange, McGuigan Simeon said it was not aware of any information concerning the company which if released to the market could explain the recent rise in share price.

McGuigan Simeon, whose shares were trading as low as $1.90 in August, also told the Australian Stock Exchange that the company could offer no explanation for the increase in share price, and that it was in compliance with all of the exchange's listing regulations.

Speaking to Dow Jones Newswires, chief financial officer Michael Noack reiterated that no information had been released that could explain the sudden surge in share price, and said no takeover bid had been made for the company. "We have had no approach," Noack was quoted as saying.

However, McGuigan Simeon has been recently suggested as a possible takeover target in the Australian media and the rise in its share price is likely to fuel this speculation further.