telnetd: can't create pty?

[Dirk Behme]

Using BusyBox v1.9.1 on ARM target I want to telnet from PC to target. 
Starting BusyBox telnetd on target as daemon and then connecting from 
PC I get

 > telnet 192.0.0.2
Trying 192.0.0.2...
Connected to 192.0.0.2.
Escape character is '^]'.
Connection closed by foreign host.

on PC. Starting telnetd on target with -F I get

# telnetd -F
telnetd: can't create pty

on target while PC tries to connect.

Any hint what's wrong here?

I used similiar configuration with some older BusyBox working quite 
well. Now I switched to recent BusyBox and did some kernel 
re-configuration.

Most probably this is a FAQ, and most probably I missed anything while 
playing with configuration, but sorry, I can't see the obvious at the 
moment. Searched already BusyBox ML archive, but couldn't find 
anything similiar.

Many thanks

Dirk

Btw: I have

# ll /dev/pty
/dev/ptyp0  /dev/ptyp6  /dev/ptypc  /dev/ptyq2  /dev/ptyq8  /dev/ptyqe
/dev/ptyp1  /dev/ptyp7  /dev/ptypd  /dev/ptyq3  /dev/ptyq9  /dev/ptyqf
/dev/ptyp2  /dev/ptyp8  /dev/ptype  /dev/ptyq4  /dev/ptyqa
/dev/ptyp3  /dev/ptyp9  /dev/ptypf  /dev/ptyq5  /dev/ptyqb
/dev/ptyp4  /dev/ptypa  /dev/ptyq0  /dev/ptyq6  /dev/ptyqc
/dev/ptyp5  /dev/ptypb  /dev/ptyq1  /dev/ptyq7  /dev/ptyqd
#

on my target and kernel is configured with

CONFIG_UNIX98_PTYS=y
CONFIG_LEGACY_PTYS=y
CONFIG_LEGACY_PTY_COUNT=256