But the Gay Meadow chief did admit having spoken to the striker. He was keen to point out that no deal was in place and that he had spoken to other players as well.
The story came out through the Scottish press, and Peters said that this was not his ideal way to do business.
The gaffer told ShrewsWeb: "I'm talking to players in Scotland and we haven't signed anyone yet and until we actually sign a player nothing can be confirmed.
"He [McMenamin] is one of the ones I was talking to and I don't like things like this to get out, but it's come out through the Scottish papers."
Peters explained that if negotiations take place in the public eye, then there are more opportunities for clubs to steal the player at the last minute.
He said: "Sometimes people get info out - so it makes other people interested, if clubs know that we are interested in signing a player then other sides start looking."