Dutch telecoms outfit KPNQwest filed for bankruptcy this afternoon after failing to find a buyer for parts of its business.
Had the sale of none-core assets gone ahead then the cash would have been used to buy a little more time for the company as it seeks a buyer for the major part of its business.
However, this now appears to have failed leading to fears that KPNQwest's European network might be shut down, potentially threatening the operations of thousands of its customers.
Yesterday KPNQwest warned customers: "In the interest of maintaining customers’ business and network continuity, the company is advising customers that they may wish to put in place contingency plans with other providers in the event of a significant deterioration in the performance of the KPNQwest EuroRings network."
A number of KPNQwest subsidiaries across Europe will also file for protection in their local jurisdictions, said the company in a statement. ®