An attempted takeover of The Warehouse Group may not yet be dead in the water

The retail group confirmed it Friday it wouldn't go ahead with a 590-million dollar takeover by an Australian private equity group, backed by founder Sir Stephen Tindall.

The offer wasn't supported by many shareholders -- particularly Farmers parent company, James Pascoe Group.

Devon Funds Management's Greg Smith says investors expect an improved offer, and the board appears to be open to one.

He says there could be more to come on this story, if a higher bid is made.