Steinway Music Instruments has received a new buyout offer which values the company at $US477 million.
The bid is higher than an existing offer from Kohlberg & Co, a private equity firm, which valued Steinway at $US438 million.
Steinway, which has been making musical instruments for 160 years, did not name the new suitor.
Kohlberg has three days to match the new offer.
The BBC reports Steinway has been looking for a buyer since December 2012. Kohlberg & Co made its offer in July.
Steinway shares rose more than 9% to $US39.59 on news of the new offer on Monday.