CHINA retailer Suning Commerce Group Ltd. will acquire 70 percent of Italian soccer club Inter Milan for 270 million euros (US$306 million), making the deal a rare purchase in which a Chinese company will control a major European sports team.

    The announcement was made by company Chairman Zhang Jindong at a glitzy news conference yesterday afternoon in the eastern Chinese city of Nanjing, where Suning is based.

    Suning already owns the Jiangsu Suning club in the Chinese Super League and hopes to leverage Italy’s soccer expertise to boost the level of the domestic game.

    The deal leaves International Sports Capital as the sole minority shareholder at Inter Milan with Erick Thohir retaining his position as president.

    “Suning Holdings Group will continue to support the global business strategy of Erick Thohir and his senior management team in order to make Inter Milan even stronger and more competitive, both on and off the pitch, by investing in the core business and expanding the brand’s geographic reach, notably in China and Asia,” the club said in a news release.

    Internazionale Holding will give up its share and former President Massimo Moratti will leave the club.

    Former Inter Milan captain Javier Zanetti was among those attending the news conference.

    Apart from Suning, Chinese shopping mall and real estate conglomerate Wanda last year bought Swiss sports marketing company Infront Sports & Media, which produces World Cup broadcasts for FIFA, and took a 20-percent stake in Spanish soccer team Atletico Madrid.

    Reports have also circulated about Chinese interest in Inter’s crosstown rival, AC Milan. Chinese firms have also poured money into the domestic league, making it the world’s priciest transfer market this year.

    “The strategy of Suning in sports is a serious one and the start of a much wider global strategy,” said Thohir at a briefing at Suning’s headquarters in Nanjing. “China is looking to embrace and develop the group of soccer both at home and globally.”

    The country aims to have more than 70,000 soccer pitches by 2020 and wants its national team to be among the top ranks in Asia by 2030, the government said earlier this year.

    Investing heavily in sports is also part of Suning’s strategy to create a strong brand in the highly competitive e-commerce space, said Liao Xinyu, an analyst at UBS Securities Asia Ltd.

    “The deal is a breakthrough for Suning in exploring opportunities in the sports industry,” said Liao ahead of the announcement. “The sports strategy may help Suning cultivate more loyal customers in the competitive e-commerce market. If an online platform can remind customers of Inter Milan, it’s more likely to attract traffic.”

    (SD-Agencies)