Canal Plus has announced that it will sell troubled French side Paris St Germain to a group of investors led by Colony Capital, Butler Capital Partners and Morgan Stanley.
Canal Plus, the pay-TV division of French media giant Vivendi, did not disclose the financial details of the transaction. A source close to Canal said the deal amounted to over €40 million.
"The new chairman will be Alain Cayzac, a long-time executive at the club and also a shareholder," Canal Plus said in a statement.
Cayzac, who sold his stake of under 2 per cent in PSG to Canal Plus in July 2005 after failing to buy the club, takes over from Pierre Blayau.
Canal Plus, which bought the rights to broadcast Ligue 1 matches in 2004 for a record fee of €600 million each year until 2007, has spent heavily on PSG over the last 15 years but the club has not won the French title since 1994. PSG are currently eighth in the 20-team division.
The capital side have failed to meet the expectations of their fans with only cup successes to celebrate in recent seasons. PSG has also been tainted by the violent behaviour of rival soccer hooligans attached to the club.
PSG have a long history of failing to get the best from talented players. Juventus and France striker David Trezeguet was judged not strong enough to play for the club while European Footballer of the Year Ronaldinho spent a lot of his time on the substitutes' bench before leaving for Barcelona.
