Cerebos Pacific says it may "just walk away" from its takeover bid for natural health products company, Comvita New Zealand.
Singapore-listed Cerebos had originally offered $2.50 a share for the Paengaroa-based company specialising in health and skincare products derived from manuka honey.
Comvita has steadfastly opposed the bid, and its directors said a valuation by independent adviser Grant Samuel put the value of its shares at between $3.40 and $4.
George Crocker, chief executive of Cerebos' food and coffee division, said the independent report was "not credible at all" and if it raises its offer, it will not be within that range.
Comvita has forecast a normalised profit of $7.3-$8.2 million and sales of between $91 million and $95 million for the year ending March 31.