THE owner of Yellow Pages has warned its shares could be left with little or no value as it battles to turn around its ailing printed phone book division.

Directories firm Hibu, formerly known as Yell, also admitted underlying earnings will fall below market expectations.

The gloomy update shocked investors as the Reading-based company's beleaguered shares plunged a further 35% to stand at just 0.44p.

However, the group, buckling under a £2.2 billion debt pile, said it was encouraged by discussions with its lenders concerning the balance sheet restructuring.