Mulberry’s board has rejected the latest takeover approach from Mike Ashley’s Frasers Group, saying it is “untenable”.

Frasers, which owns 37% of Mulberry, lodged its revised cash offer on 11 October for the remaining shares in the luxury accessories chain at a proposed price of 150p.

Mulberry’s 56.4% majority shareholder Challice, controlled by the Singaporean billionaire Ong Beng Seng and his wife Christina, has already said that it will not sell its shares to Frasers or support the possible offer.

“After careful consideration with its advisers and in light of the above, the board is unanimously of the view that the possible offer is untenable and that the company should focus its attention on driving the commercial performance of the business,” it said in a statement.

It reiterated a statement made at the time of the announcement of the company’s results on 27 September which said the combination of the appointment of a new CEO, our new debt facility and the capital raising it announced will put the group on a firm footing to ensure it is “well set up for future growth.”

The board said it acknowledges that Frasers, through its participation in the company’s recent fundraising, “has shown itself to be supportive of maintaining the value of the Mulberry brand. The board appreciates this and looks forward to further interactions with Frasers in the future.”

The board noted that, on 18 October, Frasers announced that it had “sought to engage with Challice directly”.

It said: “For the avoidance of doubt, the board is not commenting upon any such direct engagement.”

Under takeover rules Frasers must decide whether or not to make a firm offer by 5pm on 28 October.