Three months after Global Crossing's attorneys rejected a $750 million (€777.5 million) offer for its assets, the bankrupt telecoms firm is poised to accept an offer worth half that amount.

Global Crossing, which filed for bankruptcy in January, is close to signing a deal with a venture backed by Hong Kong's Hutchison Whampoa and Singapore Technologies Telemedia.

But the offer is worth about half the $750 million the group originally offered for 79 per cent of Global Crossing. That deal fell apart in May because attorneys for Global Crossing's creditors said the offer was too low for a company with an estimated $22.4 billion in assets.

Since then, however, a string of telecoms firms - including one-time telephone and data giant WorldCom - have gone bankrupt, flooding the market with cheap telecoms assets, making it harder for Global Crossing to attract a buyer.

The Bermuda-based telecoms company finds itself struggling to get a deal done. Late on Monday, the company said it extended for the fourth time the deadline for the auction of its assets, including a high-speed fibre optic network connecting 200 cities in 27 countries.

The auction will now take place on Thursday, rather than Tuesday as planned, followed by a court hearing to approve the winner. The original auction date was set for July 24th.

Under the terms of the new deal, Hutchison and Singapore Technologies would receive a 62 per cent stake of Global Crossing in return for $250-$300 million in cash and about $300 million in notes, sources said. - (Reuters)