Following the rejection of its initial bid, PAI Partners has upped its offer for diaper maker Ontex Group NV, reportedly clearing the way for it to start going over its books. Ontex, which confirmed last week it had rejected a takeover bid because the cash offer significantly under valued the company, has now allowed PAI to start due dliligence while not being in a position to recommend the revised proposal of €27.50 per share.

Ontex’s largest shareholder, billionaire Albert Frere, is in favor of the deal, according to reports, as is its CEO Charles Bouaziz who is reclused from the discussions because he sits on the advisory board of PAI.

Ontex has seen its share price drop significantly in 2018 amidst increased competition in its core markets, but the announcement of PAI’s counter offer sent it soaring 41%, more than any full-day gain since the company started trading publicly in June 2014.