A Chinese textile company's takeover bid for Kresta Holdings has fallen short of the 90 per cent threshold for compulsory acquisition.
Ningbo Xianfeng New Materials, known as APlus, had a stake in the curtain and blind maker of 85.4 per cent when the offer closed on Friday.
APlus said Kresta would remain listed on the Australian Securities Exchange.
"APlus looks forwards to being able to support the board and management of Kresta as they continue to build Kresta for the benefit of all remaining shareholders of Kresta," the Chinese company said.
The takeover bid was priced at 23 cents a share. Kresta stock was down 2.5 cents to 20.5 cents at 9.46am.