Tata Steel of India has out-bid its Brazilian rival CSN in an auction to take over the Anglo-Dutch steelmaker Corus.

If the bid of 608 pence per share is accepted by shareholders the combined company would become the fifth-largest steel producer in the world with an annual output of about 25m tonnes, according to the companies.

Tata's bid is worth $13.7bn including debt, a spokeswoman for Corus told the AFP news agency.

CSN offered 603 pence per share, the Takeover Panel, the regulatory body that ensures that all shareholders are treated equally during takeover bids, said in a statement on Wednesday.

Corus's board will make a recommendation on the respective bids later on Wednesday, the spokeswoman said.

"The final bids have been confirmed," she said. "The board will recommend [on Wednesday] and then it will go to a shareholders vote three to four weeks after that."

In December, Corus backed bids from both Tata and CSN and the Takeover Panel imposed the auction last Friday to settle the dispute.
  
Corus employs 47,300 people across the world, including 24,000 in Britain and 11,400 in the Netherlands.
  
Tata Steel is part of the wider Tata group that includes a wide range of business interests from tea to software to automobiles.

It has an annual turnover of $3.8bn while Corus has $18bn.