The board at London-listed oil firm Ophir Energy has rejected a takeover offer from Indonesian company Medco.
Medco on Friday submitted a revised offer to buy the issued share capital of Ophir for 48.5p each.
In October, Medco was offering 58p.
Ophir said the new offer “undervalued” the company.
Shares are currently worth 45p on the London Stock Exchange.
Last week, Ophir announced that Equatorial Guinea had decided not to extend the licence containing the Fortuna gas discovery.
It means Ophir will have to take a hit of £233 million to its full-year results.