Turnaround investor Melrose has made a final offer for engineering giant GKN which has valued the company at £8.1 billion.
This new bid by the Birmingham-based investor is an increase on its original £7.4 billion offer made in January.
Melrose is offering GKN shareholders a total of £1.4 billion in cash and the chance to own a 60 per cent stake in Melrose.
In a letter to GKN shareholders, Melrose chairman Christopher Miller hit out at the takeover target's own efforts to fight off the hostile bid, particularly its recent agreement to merge its automotive business with US firm Dana in a £4.4 billion deal.
Mr Miller said: "We are nearing the end of the customary offer timetable and it is now time for you to decide.
"On the one hand, you can join us on a journey of value creation by investing in a UK listed manufacturing powerhouse worth over £10 billion today and receiving £1.4 billion of cash.
"On the other hand, your board is attempting a hasty fire-sale of GKN businesses before they have been given a chance to reach their potential and with damaging consequences, we believe, for all stakeholders."
Based in Redditch, GKN manufactures products for the aerospace and automotive sectors and counts household names like Volvo, Jaguar Land Rover and Airbus among its roster of clients.
GKN announced the terms of the Driveline deal last week which would see Dana shareholders own 52.75 per cent of the company and GKN the remainder, with the combined company set to be domiciled in the UK but traded on the New York Stock Exchange.
Mr Miller said some GKN investors would not be able to hold the foreign listed shares, adding that the Driveline agreement was likely to involve a "lengthy and uncertain completion process" with competition clearances needed in the US, EU and China.
Melrose's chairman went on to criticise GKN management for the way it has handled the business and for failing to hold talks with Melrose over the offer.
GKN became a target following profit warnings in October and November after problems at its US aerospace division sent shares tumbling.
In a response, GKN said: "The board of GKN is currently evaluating the revised offer.
"Shareholders are advised not to sign any document which Melrose or its advisers send to them.
"GKN directors will do the same in respect of their own beneficial shareholdings. A further announcement will be made in due course."
The deadline for the offer has been increased offer to 1pm on March 29.