Shares in PCCW, the city's biggest telecommunications firm, have fallen 26.6 per cent in the past three trading days to a nine-year low as investors worried the company's sale of a 45 per cent stake in the telecommunications and media HKT Group will be affected by the recent stock market turmoil. The stock yesterday closed down 9.56 per cent or 37 HK cents at HK$3.50 after trading as low as HK$2.80 in the morning session. It was the lowest close since April 1999 when the company, then known as Tricom Holdings, was bought by Richard Li Tzar-kai. 'The deal may be affected if the bidders seek to lower the price as the valuation for the stake has changed from two to three months ago,' an analyst said. PCCW has shortlisted bidders TPG, Apax, Carlye and Bain Capital for the sale of a 45 per cent stake in HKT Group, a deal valued at US$2.6 billion. The company is expected to announce the winner in November. 'The market as a whole is in a turmoil. We don't have significant relations with Lehman Brothers,' PCCW's spokesman said yesterday. 'We are unaware of any impact on the company due to the Lehman situation.' US investment bank Lehman Brothers Holdings filed for bankruptcy this week, and Hong Kong's High Court has appointed KPMG as liquidator to its two units in the city. PCCW said the sale was proceeding as planned. A source said that the deal should not be affected by the turmoil. 'We are not under pressure to sell the HKT stake,' the source said. 'We do want to expand our business overseas with the help of the new investor. But if the bid price did not meet our target, we can hold the plan.' PCCW last week said it would give the winner a priority arrangement to receive the dividend payment of HKT between next year and 2013 in a move to boost the bid price.