Pantech hit by bankruptcy rumours

Korean handset maker Pantech & Curitel has been forced to suspend trading after the company was rocked by rumours of bankruptcy.

The stock exchange reportedly asked for clarification of the situation by close of play on Tuesday evening (Korean time) but as of noon (UK time) no announcements had been made by the company.

According to the Korean stock exchange, shares in Pantech & Curitel dropped nearly 7 per cent before the suspension.

The company has been on the ropes since its acquisition of a $300m 60 per cent stake in handset manufacturer SK Teletech from SK Telecom (SKT) last year.