The point isn't necessarily to get buyers to pay more than fair market value. Most VC firms run a series of separate funds, each with a target date to return cash to limited partners. So at some point the VCs need liquidity even if the valuation isn't great. This is a normal and expected part of the business model.

In some cases a VC can kind of "extend and pretend" by getting one of their other portfolio companies to do the acquisition in an all stock deal.