The 26-year-old songwriter was recently spotted with Montana, 31, at Jennifer Lopez's "All I Have" residency show in Las Vegas, sparking dating rumours, reported E! online.
"No, we're (just) collaborating. I've got another single coming out with French Montana," Azalea said.
The "Team" songstress clarified that she was with the rapper in Las Vegas to record their new song.
"We recorded it while I was in Las Vegas last week. It should be having a music video filmed to it in the next few weeks," she added.
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