Hanaro Telecom Inc., Korea's second largest fixed line operator, has signed a deal to buy Korea Thrunet, the broadband operator, for 471.4 billion won in order to boost its broadband internet service business.

Hanaro will purchase 99.2 million new shares in Thrunet for 248.1 billion won to own a 92.71 per cent stake. Hanaro will also spend 223.4 billion won to purchase Thrunet's corporate bonds.