Norway’s XXL ASA will push ahead with a rights issue over a potential bid from Mike Ashley’s Frasers Group Plc, setting the scene for another shareholder dispute involving the billionaire’s British retail group.

The sporting goods retailer said the board decided Frasers’ planned offer to buy the rest of its shares is unlikely to be successful and will instead opt for a rights issue that the UK company has already spoken out against. XXL has already secured underwriting for the maximum amount of NOK600 million ($53.8 million), according to a statement Friday.

XXL shares fell more than 10% in Oslo, while Frasers dropped as much as 1.7% in London.

It’s the latest battle involving Frasers which is separately trying to secure two board seats at Boohoo Group Plc amid an increasingly bitter war of words between the British online fashion company and its shareholder.

Earlier this month, Frasers announced plans to offer 10 kroner a share in cash to buy the equity it doesn’t already own in XXL in a deal worth about NOK246 million. Frasers owns close to a third of the company.

XXL has struggled with a weak sporting goods market after 10 consecutive quarters of negative growth. Shareholders last month voted down a plan for a NOK600 million rights issue, with management responding by trying to push through a different version of it.