The two musicians have been pals for a while and often see each other on the music circuit, but it sounds like Ed, 24, and Nicole, 37, may be more than just friends.
The British star invited the former Pussycat Dolls singer to attend his three concerts in Wembley Arena, London in July. A few days after his sell-out performances, Ed and Nicole were also spotted enjoying drinks at Ed's local pub in Suffolk.
Nicole Scherzinger is said to have listened to Ed Sheeran's songs "on loop" after her split from Lewis Hamilton
Nicole, who split from her on-off boyfriend Lewis Hamilton in February, is also said to have found comfort in Ed's music while she was going through her break-up. It's thought that the friends became "extremely close" after Nicole confided in Ed and admitted that his music had helped her.
"They were showbiz friends who saw each other on the scene," Nicole's friend told The Sun. "She was drawn to him over the last few months through his music. When she split from Lewis, she was heartbroken but ended up playing Ed's songs on loop."
Of their time at The Station Hotel pub in Ed's hometown, Framlingham, the source added: "She loved it, because, as she put it, it was 'so real'. She kept saying that."
Nicole and Ed visited the Brit's local pub in Suffolk back in July
The pair seemed happy to pose for a photo with barman Isaac Chapman, who uploaded a snap of himself and the famous musicians on Twitter. "Great meeting @edsheeran and @NicoleScherzy," he captioned the photo dated 15 July.
Meanwhile, Ed's friend told the same publication: "As far as he's concerned they were in the early stages of dating and he's been open about it with close friends and colleagues. It may not develop beyond those dates, but they're definitely tight."
Around the same period in July Nicole posted a photo of herself and her rumoured love interest standing back to back and playfully captioned it: "Okay okay you win @teddysphotos, you're taller #UOENO."
Nicole split from her long-term boyfriend Lewis in February, the same month that Ed and his ex-girlfriend Athina Andrelos called time on their one-year relationship.