Beleaguered Cityscape Financial Corp.'s shares dropped more than 35% Tuesday, to close at $3.47, amid a swirl of rumors including talk that it may be seeking a buyer.

Neither Cityscape nor Bear, Stearns & Co., which was said to be seeking a buyer, returned calls. More than nine million shares traded hands, representing nearly a third of the Elmsford, N.Y.-based subprime lender's market capitalization.

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