China’s Rastar Group has announced on Monday that its Hong Kong unit will buy a majority stake in Spanish football club Espanyol and then invest up to €45 million, according to Reuters.
The company, based in China's southern Guangdong province, said it is set to buy up to 56 percent stake in Barcelona-based Espanyol after reaching an agreement in principle with the largest shareholders of the club, Daniel Sanchez Llibre and Ramon Condal.
The company said it will pay €78 per share for a 45.1- 56 percent stake in a deal valued between €143m and €178m.
"The company hopes that the deal will help it expand its interactive entertainment business in the sports sector," Rastar said in a Chinese filing on the Shenzhen stock exchange.
After acquiring the stake, Rastar added that it would then increase its investment in the club by up to €45m.
Espanyol are currently 10th in La Liga.