Toney (L) is caught by a left from Peter in Los Angeles

Peter built an early lead with several powerful overhand rights which rocked the 38-year-old Toney.

But the American came back into the bout and began landing combinations and counterpunches as Peter tired.

However, the Nigerian was declared the winner with two scores of 116-111 while Toney was backed by one judge 115-112.

Toney, a former three-weight world champion, was surprised by the judging.

"I didn't lose this fight. I took everything away from him," said Toney, who was desperate to earn a chance to regain the title he lost last year after testing positive for an illegal substance.

Peter, whose only defeat in 28 bouts came in a points loss against IBF champion Wladimir Klitschko last September, is now set for a shot at WBC title-holder Oleg Maskaev.