An article in Japanese newspaper The Asahi Shimbun claims the two firms will join forces in the camera business and set up a joint company to develop and manufacture endoscopes.
The deal is reported to involve a Sony cash injection of 50 billion yen.
In response, on Saturday, Olympus' Tokyo headquarters issued a statement which read: ‘Certain sections of the media have reported today regarding the capital tie-up between Olympus Corporation and Sony Corporation, which is not announced by the company.
‘The company will promptly disclose any information that should be disclosed as it arises.'
A Sony spokesperson had yet to respond to a request for comment at the time of writing.