(Bloomberg) -- Australian data-services firm Link Administration Holdings Ltd. has rejected a reduced takeover offer from Canada’s Dye & Durham Ltd. 

The company’s board “does not believe it is able to recommend” the A$4.30 ($2.93) per share offer to its shareholders, which was revised down by the Canadian software firm from a previous bid of A$5.50, Link said in a statement Monday. Link said it will continue to engage with Dye & Durham.  

Dye & Durham proposed lowering its takeover offer for what is the biggest back-office service provider to Australia’s booming pension industry by 22% last week, citing the current state of financial markets and the value of both Link and its recently spun out conveyancing unit PEXA Group Ltd.

Link shares are down about 13% since the start of June after Australia’s consumer watchdog raised concerns over the merger. A unit of Link has also been served with a group lawsuit relating to its administration of former star UK stock picker Neil Woodford’s collapsed fund.

Link’s decision was made after feedback from stakeholders and a valuation from the deal’s independent experts that included “potential adjustments to that range as a result of the change in market conditions” among other factors, the company said.

The firm will postpone the scheduled shareholder vote on the deal to a later date, it said.

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