LONDON: British drugs giant AstraZeneca on Friday rejected a sweetened $106-billion takeover bid from US rival Pfizer, hitting out at the “inadequate” offer as it battles to remain independent.

The rejection came hours after Pfizer had lifted its informal cash and shares bid to the equivalent of 76bn euros, as it seeks to strengthen its research in cancer and slash its tax bill.

The Viagra maker offered £50 ($84) per AstraZeneca share, higher than the previous bid worth a total of $99bn.

“The financial and other terms described in the (new) proposal are inadequate, substantially undervalue AstraZeneca and are not a basis on which to engage with Pfizer,” the British group said in a statement.