Siderurgica Nacional SA and Tata Steel Ltd. began bidding for Corus Group Plc, Britain’s biggest steelmaker, at an auction that may drive the price as high as 5.2 billion pounds ($10.2 billion).

The U.K. Takeover Panel ruled last week that Corus should sell itself to the highest bidder after three months of competing offers failed to produce a winner. Rio de Janeiro- based CSN last month raised its bid to 4.9 billion pounds, topping an approach from Mumbai-based Tata. Corus shares rose 3 pence, or 0.5 percent, to 563 pence in London today.

“It’s going to come down to who is more willing to overpay,” said Stephen Pope, head of equity research at Cantor Fitzgerald LP in London.

Posted: 01|31|07 at 10:05 am. Filed under: UK News.