NEW YORK (AP) -- Jos. A. Bank is rejecting a takeover offer from competitor Men's Wearhouse, saying the $1.54 billion bid is too low.

Jos. A. Bank Clothiers says its board unanimously rejected the offer. The Hampstead, Md., company says it will continue to look into acquisition opportunities that would create value for its shareholders.

Jos. A. Bank offered to buy its larger rival in September for $2.3 billion, or $48 per share. Men's Wearhouse turned down that offer and offered to buy Jos. A. Bank for $1.54 billion, or $55 per share. A combination could create a menswear powerhouse of more than 1,700 outlets.

Shares of Men's Wearhouse fell 86 cents to $51.15 in premarket trading, and Jos. A. Bank stock declined 98 cents to $56.05.

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