The pair was spotted leaving the same party.
The source shares with ET, "Gigi and Leo spent time together in Milan but they are just friends and are not dating." The relationship status comes amid reports that the model and the actor were spotted leaving the same restaurant in Italy just 10 minutes apart from each other.
TMZ obtained images which show Leo desperately trying to duck cover as he heads for his waiting car after leaving Casa Cipriani. Gigi, who walked the Prada runway for Fashion Week, strutted along in an oversized denim dress shirt. The outlet reported that Leo and Gigi were at a large party with 20 mutual friends to celebrate a birthday for British Vogue's Edward Enninful. TMZ, citing eyewitnesses, reported that they arrived at the restaurant around midnight and were sitting together.
The outlet reported things were going swimmingly until they were spotted, which turned the scene chaotic as they tried hiding. Gigi at one point tried to hide behind her bodyguard, the outlet reported.
That Gigi and Leo are spending time together is not at all odd for those who know them intimately, our source shares.
"The two get along well and were enjoying time together with friends," the source tells ET. "Gigi's priority is her daughter and her business and that's what she's focusing on right now."
The source says Gigi was actually there to spend time with her good friend and fellow model, Kendall Jenner.
"Gigi was there to meet Kendall and that was her date for the night," the source says.
"What does the world not know about me? I don’t know. I’m getting emotional [thinking about it]." Gigi said, fighting back tears. "I think that I’m someone who you have to be in front of to experience."
"It’s not hard. This isn’t a complaint. It’s more that in my job, you see a lot of snapshots," she explained. "There are a lot of snapshots and really quick moments where, again, there’s not a lot of context given."