Gannett, which also owns the Newsquest group of regional newspapers in the UK, had been considered a frontrunner but declined to up its offer to take it through to the next stage of the bidding process.
Richard Desmond also withdrew his interest last week, leaving the Barclay brothers and the Daily Mail and General Trust as the only UK-based group left in the running.
Other bidders include German publishing giant Axel Springer, Israel-based entrepreneur Haim Saban, venture capitalists 3i and Apax, alongside growing speculation US-based equity movers KKR and Carlyle may enter the fray.
The current bidding price is believed to be around £650m for the Telegraph in the UK, though Lazards, the group appointed by the Telegraph’s parent company Hollinger International, is also listening to offers for the entire portfolio, including the Jerusalem Post and Chicago Sun-Times.
This article was first published on Media Week