It is understood bids for the embattled music giant, which is home to acts including Lily Allen (pictured), came in at the very bottom of the $3bn to $4bn price range forecast by some analysts.
One source close to the process told City A.M. the higher valuation was “crazy: way, way off the mark”.
Citigroup is in no rush to make a decision on the multi-billion sale of EMI, with a decision not expected for at least a week, according to people close to the matter.
However, analysts say it will be privately itching to dispose of the asset it seized from Guy Hands’ Terra Firma earlier this year.
It is likely EMI will be split upon its sale, with four of the five bidders vying for one half of its operations.
BMG Music and Sony Music Entertainment are interested in the publishing arm, while Vivendi’s Universal Music Group and Warner Music are keen on the recorded music business.
But only MacAndrews & Forbes Holdings is understood to have tabled a bid for the entire company.