Bollywood actresses Alia Bhatt and Katrina Kaif were seen hugging each other at the HT Most Stylish Awards 2016. It was surprising as earlier it had been reported that the "Kapoor and Sons" actress was the reason behind Ranbir Kapoor and Katrina's break-up.

The report suggests that Katrina couldn't bear her then-boyfriend's closeness to Alia at the house parties that used to be thrown by Katrina and Ranbir. Alia's presence in Ranbir's life had started bothering the "Fitoor" actress, leading to unending arguments between the then couple.

Katrina even expected filmmaker Imtiaz Ali to drop the "Shaandaar" actress from his upcoming superhero flick, which stars Ranbir and Alia. However, things didn't work out the way Katrina wanted and the rest is history.

But, everything looked fine at the recent award ceremony, where Alia and Katrina were clicked hugging and posing together for the paparazzi. Alia even shared their photo on Instagram with caption: "Candid! #FavouritePerson." This means that the earlier reports were a mere rumour and all is well between the two divas.

Also, if reports are to be believed, Alia is dating Sidharth Malhotra and the duo looks madly in love. Though the rumoured couple has not publicly admitted to being in a relationship, fans are smart enough to understand what's cooking between the two.

Alia and Sidharth have recently appeared in Karan Johar's "Kapoor and Sons," which is their second film together after "Student of the Year." Meanwhile, Alia is shooting for Gauri Shinde's next opposite Shah Rukh Khan and also working on Shahid Kapoor-starrer "Udta Punjab."

On the other hand, Katrina will soon appear in Anurag Basu's "Jagga Jasoos," in which she shares screen space with ex-boyfriend Ranbir. She is also shooting for Nitya Mehra's "Baar Baar Dekho" alongside Sidharth.