Exploding laptop hits LG shares

LG Chem is the world's fifth-biggest maker of lithium-ion batteries

Shares in LG Electronics and LG Chem have fallen after a laptop computer exploded, which LG Electronics said contained an LG Chem battery.

Several Korean newspapers reported the computer owned by a local journalist had exploded while in sleeping mode.

News channel YTN showed pictures of flames and smoke rising from it.

LG Chem has asked a third party to investigate the incident, although there was no indication that the battery had been to blame.

LG Electronics shares closed down 5.7% in Seoul while LG Chem fell 4.7%.

In 2006, Sony began recalling 9.6 million lithium-ion batteries because of fears that they could burst into flames. The recall eventually cost it 51.2bn yen ($467m; £238m).

LG Chem is the world's fifth-largest manufacturer of lithium-ion batteries, which are used in mobile phones and laptop computers.