SEOUL (Reuters) -Three South Korean low-cost carriers are currently in the race to buy Asiana Airlines' cargo business, two people with knowledge of the matter said on Thursday.

Among the carriers that participated in the first round of bids, Jeju Air said in a regulatory filing on Thursday that it did not participate in the second round.

The people initially said four companies had submitted bids in the second round of bidding for the business, but after Jeju Air's filing, they identified Eastar Jet, Air Premia and Air Incheon as having submitted bids.

They declined to be identified as they were not authorised to speak to media about the deal.

Air Premia declined to comment. Spokespeople for Eastar Jet and Air Incheon could not be immediately reached for comment.

Korean Air, South Korea's biggest carrier, is set to purchase nearly two-thirds of Asiana for about $1.4 billion, but EU antitrust authorities have stipulated that Asiana's cargo business must be sold before they will give their approval.

Sale adviser UBS accepted the second round of bids to buy the business, encompassing Asiana's 11 freighter aircraft, airport slots, employees and contracts.

Local newspaper Korea Economic Daily said on Thursday that the sale price is expected to be around 300 billion won to 500 billion won ($219-$364 million), citing unnamed investment banking sources.

($1 = 1,372.7900 won)

(Reporting by Joyce Lee; Editing by Christopher Cushing and Muralikumar Anantharaman)