Marks & Spencer has said that it is not prepared to recommend Philip Green's improved share offer.

It said that Green's £9.1 billion takeover proposal, which includes a 400-pence-a-share offer, "continues to undervalue the group and its prospects significantly".

M&S said that this would become clear to its shareholders on 12 July when chief executive Stuart Rose unveils the full scale of his plans for the company.

Green's offer includes a cash and share alternative of 335 pence per share, plus a 30 per cent 'stub' equity interest in Green's Revival Acquisitions vehicle.

M&S also referred to "major areas of uncertainty" involved with Revival's proposal, including its ownership structure and financing.

Green said that the offer made to M&S on Wednesday would be his last.