Walsall have had a bid knocked back for the youngster, but the Harriersare braced for an improved offer.
"We've turned down an offer for Russ Penn because it is nowhere near what we value him at," Kiddy's chairman Barry Norgrove told the Kidderminster Shuttle.
"He's one of our best players and has also performed excellently for England C, so their valuation was nowhere close enough. There's no doubt he's an excellent player."