The board of Casey's General Stores Inc. has rejected the latest takeover bid from convenience store operator Alimentation Couche-Tard Inc., saying that the $1.47 billion offer was too low.

The Ankeny, Iowa, company also said Tuesday it has received a higher preliminary proposal from an unnamed third party and has agreed to talk with that suitor.

Its shares climbed almost 8 percent in morning trading.

Canada's Alimentation Couche-Tard, which owns the Circle K brand in the U.S., raised its offer to $38.50 per Casey's share in cash last week.

Casey's says the new bid "substantially undervalues" the company.

But it says it has received a preliminary proposal of $40 per share from an unnamed third party. It says that is also too low but it has agreed to talk with that suitor.