Whitestone REIT (NYSE:WSR) fell 3% after the shopping center operator rejected a $15/share indication of interest from MCB Real Estate.

The Whitestone (WSR) board said it unanimously rejected the offer as it believes it doesn't reflect an "appropriate" valuate to enter into talks toward a negotiated transaction, Whitestone said in a statement on Wednesday.

"The Whitestone REIT Board of Trustees believes the indication of interest is opportunistically timed to take advantage of Whitestone’s performance while the company is still gaining momentum under the new management team," the company said in the statement.

Earlier this month, MCB Real Estate sweetened its offer to purchase the U.S. shopping center operator for $1.45 billion, including debt. MCB Real Estate is offering Whitestone REIT (WSR) $15 a share in cash, a 14.5% premium to WSR's share price on June 3, before the original offer was disclosed.

Whitestone originally rejected a $14 a share offer from MCB Real Estate in June. MCB is Whitestone's (WSR) third largest shareholder.

“Whitestone’s response to our rejection has been wholly insufficient for shareholders who deserve answers as to why the Board believes it can deliver more value than our proposal represents," P. David Bramble, MCB's managing partner and co-founder said in a statement emailed to Seeking Alpha. "They seem steadfast in their refusal to initiate a formal strategic alternatives process in the face of a bona fide, credible all-cash premium proposal to acquire the Company."

Whitestone REIT (WSR) also reported Q3 results on Wednesday and held a conference call on Thursday morning where the company was asked about a potential strategic review process.

"Whitestone’s claims that management has delivered shareholder returns above its peers deserves significant scrutiny – shareholder returns have been completely driven by takeover rumors and MCB’s acquisition of shares on the open market," MCB's Bramble added in the statement. "Today’s performance on the Whitestone earnings call was further evidence of entrenchment.”