Longs Drug Stores Corp., which last month agreed to be acquired by CVS Caremark Corp. for $2.7 billion, said its board decided not to enter discussions with Walgreen Co. over a higher takeover bid.

Financial information that Walgreen requested so it might hold negotiations won't be provided, Walnut Creek, Calif.-based Longs said today in a statement.

Walgreen offered to pay $2.8 billion, or $75 a share, topping the $71.50-a-share bid by CVS. Advisory Research Inc. and Pershing Square Capital Management LP, the two largest investors, argue that the CVS bid undervalues Longs Drug's real estate and have refused to tender their shares to CVS.

The offer by Walgreen has enhanced antitrust risk, which may delay any completion of the purchase, Longs said. There's no indication its shareholders would be compensated for waiting a longer period, the drugstore chain said.

Longs has 521 stores four states, including 39 in Hawai'i.

In morning trading, shares of Longs dipped 96 cents to $75.35, indicating that investors probably expect another offer from Walgreen or another buyer, or that CVS may increase its bid.