(Bloomberg) -- Cesar Alierta, a former chairman of Telefonica SA, is in talks to sell his controlling stake in Spanish soccer club Real Zaragoza SAD.
Sevilla-based investment firm Odemira Capital is teaming up with U.S. investment firm Prospects Sports Solutions to buy Alierta's stake in the second division team, according to people familiar with the matter who asked not to be identified discussing private information.
Odemira has signed a letter of intent with the Alierta family, which owns 51% in the club, the people said. The process is in the due diligence stage and Odemira expects to close the deal in January.
Odemira is set to buy out Alierta's equity in the club, while Prospects Sports Solutions will refinance part of the club's 68 million euros ($76.9 million) debt pile.
Representatives for the Alierta family, Prospects Sports Solutions, and Odemira declined to comment.
Alierta teamed up with other local businessmen in 2014 to take over his home-town club and took a controlling stake in 2019. His father was president of Real Zaragoza in the 1950s. Alierta stepped down from the Telefonica chairmanship in 2016.
Real Zaragoza went into administration in 2011 and was relegated to the second division two years later. The club achieved its most significant result in 1995, when it won the UEFA Cup Winners' Cup, beating England's Arsenal FC in the final.
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