GKN has slammed Melrose for making 'misleading' comments relating to the engineering giant's two UK defined benefit (DB) schemes.
Melrose has pledged to contribute up to £1bn to GKN's pension schemes as part of a final offer to acquire the engineering business.
GKN's proposed merger deal with Dana means over two thirds of the group's gross pension liabilities will remain with the engineering giant, according to Melrose.
GKN has reached an agreement with its scheme trustees as part of a $6bn (£4.3bn) proposal to merge its Driveline businesses with Dana Incorporated.
The Pensions Regulator (TPR) has expressed concern that a Melrose Industries takeover of GKN is likely to have a "detrimental impact" on the GKN defined benefit (DB) scheme.
GKN has announced plans to make a cash contribution of £160m into its defined benefit (DB) pension schemes as part of demerger plans designed to fend off a hostile takeover by Melrose Industries.
Melrose Industries's UK defined benefit (DB) schemes had a £5.5m combined deficit at the end of 2016, its annual results have revealed.
Melrose Industries has claimed its board has the expertise to manage GKN's substantial pension liabilities in a formal offer letter to the firm's shareholders.
Engineering giant GKN has warned the proposed £7.4bn takeover by Melrose Industries could increase its pensions deficit.
The trustees of GKN Group's schemes have warned Melrose Industries about the pension funding position, following a bid to take over the business.