Karachi police on Saturday said they shot dead four 'terrorists' belonging to Al Qaida in the Subcontinent (AQIS) after a raid turned on a house on the Northern Bypass turned into a full-fledged gunfight.

Senior Superintendent of Police (SSP) Rao Anwar said police had acted on a tip-off from an intelligence agency to apprehend suspects involved in various terrorism-related incidents in Karachi when they encountered them near the Northern Bypass.

"In a shoot-out with the police, four terrorists, including the notorious Ibraham, aka Afia, were killed," SSP Anwar said.

A sniper rifle and three pistols were recovered from the suspects.

"The terrorists were wanted for an attack on the Rangers in Korangi No 5 and a deadly grenade attack on police personnel in Awami Colony," the police official said.

An investigation is underway.