A 38c-per-share takeover offer from mid-tier miner Sandfire (ASX:SFR) isn’t good enough, MOD Resources says — but the advanced copper explorer has left the door open for a higher bid.

The MOD (ASX:MOD) share price — which has been hammered over the past year — was fetching just 22c pre-open Monday.

Sandfire tabled the sneaky takeover proposal after completing due diligence over a potential joint venture arrangement, partial sale, and market placement to support development of MOD’s T3 copper project.

MOD is close to completing a feasibility study for its flagship 60 million tonne T3 project in the central Kalahari Copper Belt, Botswana.

The proposal values the company at $113m , which “undervalues the assets of MOD”, the explorer told investors.

The opportunistic bid was also made as MOD’s share price and the MOD/Sandfire exchange ratio were at a two and a half year low.

The MOD share price has ranged between 21c and 65.9c over the past 12 months.

But if a “compelling” price was presented MOD was willing to come back to the table.

The explorer also announced a successful $10m institutional placement at 30c per share — a 36 per cent premium to the company’s last closing share price on the ASX.

An additional $5m rights issue will be offered to existing shareholders priced at 24c per share – with details to be announced shortly, the company says.

The $15m will be funnelled into advancing T3 towards production and defining additional resources in the surrounding area.