British construction company Costain Plc (COSG.L) said it would not revise its offer for May Gurney Integrated Services Plc MAYG.L after Kier Group Plc (KIE.L) made a higher bid of 221 million pounds ($337.39 million).
Costain said it did not believe it would be in the best interests of its shareholders to amend the terms of its offer.
Kier's offer of 315 pence per share, including 50 pence in cash, is 35 percent higher than the all-share bid Costain made last month. Kier's offer also gives May Gurney a valuation it has not attained since the financial crisis.
Shares in Costain were trading up 2.33 percent at 285 pence on Thursday afternoon on the London Stock Exchange. May Gurney's stock was down 1.6 percent at 294.75 pence.
(Reporting by Abhirup Roy in Bangalore; Editing by Roshni Menon)