is in talks with Bermuda-based Tyco International Ltd., said it has ended conversations with the US company.

The Sunday Times newspaper said that Tyco was considering a bid of more than 5 billion ($8.36 billion) for the UK maker of Yale locks and Kidde fire-extinguishers. The story did not name sources. A bid at this level would cost more than 600 pence a share.

"Following the speculation in yesterday's press, Williams announces that it has had exploratory discussions with Tyco International Ltd. about a range of options for the combination of their respective fire and security businesses, but that these discussions have been terminated,'' the company said in a statement.

While analysts said they could see the logic of a match between Tyco and Williams, the two largest fire-protection and security companies in the world, they questioned the reported price Tyco may pay, and said the company may run into anti-trust issues in the US.

At 600p "I'd recommend shareholders accept it as soon as possible,'' said Peter Wyatt, an analyst at Credit Lyonnais Securities. He said an offer of 500p per share would be generous.

Williams did not say why the talks ended.

The market for security products and home appliances has continued to grow in the Americas and Australasia though demand for property services has suffered, particularly amid economic slowdown in Asia. Chubb, Kidde and Yale locks, Williams' leading security brands, will be the main focus of product growth.

Tyco is on a buying spree, spending or agreeing to spend more than $13.4 billion on acquisitions in the last 18 months, including its September agreement to buy disposable medical products maker Graphic Controls Corp. for $460 million.

Tyco buys companies it expects to add to earnings immediately in its four main units -- electronics, medical, security systems and valves.

Earlier this month Tyco said profit in the quarter ended September 30 rose 64 percent to $339.9 million, boosted by acquisitions.