Four on-the-run 'terrorists' were killed Monday after a Counter Terrorism Department (CTD) team raided their hideout in Multan, a CTD spokesman told DawnNews.

Approximately eight suspects, allegedly linked to proscribed organisations, had been hiding in Tehsil Jahanian, district Khanewal, when the CTD team received a tip-off about their location.

Acting upon the information provided, a CTD team conducted raided the suspects' hideout in the early hours of Monday, surrounding the vicinity and demanding the suspects to surrender.

The terrorists opened fire on the law enforcement officials, leading to a gun battle between the two parties. Grenades were also lobbed at the raiding forces.

The shoot-out ended with the terrorists blowing themselves up with explosives. Three suspects died from the explosions, while one culprit's body was found outside the compound. He was allegedly killed by friendly fire, security officials said.

The remaining suspects fled the scene.

The CTD officials recovered 10 kilogrammes of explosives, one hand grenade, two rifles and a pistol, along with ammunition from the scene. An investigation of the incident is underway.