Katie Holmes and Alexander Skarsgard have been "spending time together" since meeting on the set of the upcoming film, The Giver.
Sources tell Grazia magazine via IANS that "their flirtation was one of the worst kept secrets on set."
"Nobody is surprised that they've been spending time together. They really enjoy each other's company," added the insider.
Holmes, who was married to Tom Cruise from 2006 until 2012, has been linked to Jason Segel and Jaime Foxx after her divorce, but both reports were denied by the actors.
"While it's all quite casual at the moment, they are looking forward to spending more time with one another as they promote the film, especially as they are both single," the insider added of the actress' alleged new relationship with Skarsgard.