DUNDEE UNITED have confirmed chairman Stephen Thompson has held talks with a number of Australian clubs about a talent-swap deal - but the Arabs say reports of a takeover deal for Newcastle Jets are premature.

The Australian Daily Telegraph reported on Wednesday that Tangerines chief Thompson wanted to buy the struggling A-League outfit.

But United director Derek Robertson insists the Tannadice board have not even discussed making an offer.

He said: "We have been talking to a number of clubs and associations, not just in Australia but elsewhere around the world, about player tie-ups and that sort of thing.

"But to claim the club is ready to buy Newcastle is not correct. The matter has not even been discussed by the Dundee United board."

The club did, however, announce that they were looking in to new ways of sourcing young talent - including a potential tie-up with the A-League sides.

Thompson flew to New South Wales last week and attended the Newcastle's 3-1 defeat to Wellington at Hunter Stadium.

The Telegraph also claimed that Thompson had visited a number of other A-League sides, including Adelaide, Perth, Sydney and Western Sydney during his three-week trip.

In a statement released on Wednesday afternoon, the United board said: "We have been made aware of reports circulating in Australia regarding a potential purchase of Newcastle Jets.

"We can confirm that our own chairman Stephen Thompson has visited Australia recently where he met a number of clubs' and league representatives as part of a wide-ranging fact finding mission.

"This board's view is that football is a global market place and as part of our aim to develop Dundee United Football Club we are continually seeking opportunities to improve on and off field.

"Mr Thompson's visit to Australia provided a worthwhile insight into a league that is progressing rapidly, whose clubs are part of a growing market in world football and is home to a number of very promising young players.

"At all times the board will act in the best interests of this Club and Australia is simply one of a number of countries that Dundee United is monitoring.

"Our philosophy remains focused on the identification and professional development of the best young footballing talent available."

United's youth recruitment policy has already proved to be a major money-spinner for the club.

Talented playmaker Ryan Gauld was sold to Portuguese giants Sporting Lisbon for £3million in the summer, while full-back Andrew Robertson moved to Hull for £2.85million soon after.

Substantial profits have also been made from the sales of David Goodwillie, Johnny Russell and Scott Allan to clubs down south in recent years and now Thompson wants to lure the best Australian youngsters from Down Under in the hope they can also be developed.

Jets' millionaire Nathan Tinkler has been actively trying to offload the club - currently second bottom of the 10-team A-League - for months and even sent a delegation to the UK earlier this year in an attempt to find a buyer.