Writes through with company and analyst comments, details on offer and context

May 8 (Reuters) - Britain's Intertek ITRK.L on Friday rejected a third sweetened 8.93 billion pound ($12.12 billion) takeover proposal from Swedish private equity firm EQT AB EQTAB.ST, saying it was focusing on a review which could see the company split in two.

The product testing company's shares fell 7% in early trading after it said the latest EQT bid undervalued it and carried high execution risk, but recovered to trade down 4% at 48.49 pounds by 0724 GMT.

Intertek's review, announced a day after EQT made its first approach in April, had been viewed by many analysts as a defensive move while the company weighed separating its energy and infrastructure unit.

"The Board of Intertek has carefully reviewed the Further Revised Proposal with its advisers and unanimously concluded that it significantly undervalues Intertek and its future prospects and there is significant execution risk given its conditional nature," Intertek said on Friday.

EQT submitted a revised bid of 58 pounds per share earlier this week, a 33% premium to the stock’s April 15 closing price, the day before EQT made its approach public. It did not immediately respond to a request for comment on the latest snub.

"The third bid from EQT did not suggest it was (a best and final offer) and a further bid from EQT or others is possible. The break-price may be £44 or below," Panmure Liberum analyst Joe Brent said.

The private equity group's previous two proposals were worth 54 pounds per share and 51.50 pounds per share.

If EQT succeeds in buying Intertek, this would be Britain's second‑largest private equity takeover, trailing only KKR's KKR.N 11.1-billion-pound acquisition of Boots in 2007, according to M&A data and intelligence platform Mergermarket.

The firm has until May 14 to make a formal offer or walk away.

($1 = 0.7368 pounds)