Capricorn Metals (ASX:CMM) has rejected another takeover bid — this time from the same major shareholder that blocked a takeover attempt by big gold producer Regis Resources (ASX:RRL) last year.

The hotly pursued junior told investors today that it had received an $86m unsolicited non-binding indicative and incomplete letter of intent from Emerald Resources and Hawke’s Point Holdings.

Hawke’s Point is the major shareholder that voted against Regis’ $85m all-scrip takeover offer in October last year.

Apart from being worth a smidge more, the latest offer is half cash and half Emerald shares worth 11c per share altogether.

Capricorn’s share price closed Monday at 7.1c.  

The troubled gold explorer was recently the subject of a board spill and has new management that is now revisiting “past failed transactions” and looking for potential new suitors.

Capricorn said it had rejected this new offer after speaking with its advisors and shareholders not connected to Hawke’s Point.

The reason: Capricorn believes the offer “undervalues the company and its assets”.

Shareholders certainly agreed, pushing Capricorn’s share price up over 21 per cent to an intra-day high of 8.6c on Tuesday after the company said it had rejected the offer.

But Capricorn has not completely shutdown the idea of a potential takeover by Emerald and Hawke’s Point — the pair just have to come up with a much sweeter deal.

At the same time, the new management will re-open the data room to attract potential buyers or partners for its Karlawinda gold project in Western Australia.

Capricorn has been contacted for comment.

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