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(Agencies)
Updated: 2007-11-28 14:53

SK Telecom Co, South Korea's top mobile service operator, is in talks to sell its handset manufacturing business in China to a Chinese firm, a South Korean daily reported on Wednesday.

Related readings: SK Telecom buys stake in Unicom SK Telecom to help China develop wireless networks Cell phone penetration ratio hits 35.3% Cell phone output in China expected to rise

The sale could be completed by the year-end, depending on the outcome of due diligence, the Dong-A Ilbo quoted industry sources as saying.

An SK Telecom spokesman declined to comment.

The company had invested 26 billion won (US$28 million) in the Chinese plant earlier this year to produce an annual 250,000 handsets for sale in China and eastern Europe.