Advertising giant WPP said it has new information strengthening its case to wriggle out of its original bid for media-buying firm Tempus Group.
The company did not say what the new information was, but sources said it related to the position of Tempus prior to August 20th, when WPP launched its 555p per share bid, which valued Tempus at about £420 million sterling.
WPP still has faith in the strategy behind the deal, but it believes the 555p per share it offered in August is way too high in the aftermath of last month's attacks in the United States.
The attacks sent stock markets reeling and piled pressure on the already troubled advertising market.
Tempus shares were knocked further after rival bidder French Havas Advertising pulled out of the running.
The European Commission approved WPP's original offer for Tempus yesterday, saying it did not give rise to competition concerns.
WPP's shares closed yesterday at 536p. Tempus closed at 512p, valuing the firm at about £387 million.