(Sports Focus) China's Wanda Group acquires Infront on way to build sports empire (update 2)

China's leading conglomerate Dalian Wanda has acquired Swiss sports marketing company Infront Sports & Media just three weeks after it purchased stakes of Spanish La Liga champions Atletico Madrid.

The Chinese real estate and entertainment giant Tuesday announced the deal which is valued at about 1.2 billion U.S. dollars.

Wang Jianlin, chairman of Wanda Group, expected the new acquisition will help pave the way for Wanda to become a global force in sports industry.

Infront delivered 4,000 event days and generated revenues over 913 million dollars in 2014. Now it is partner to many famed sport organizations such as FIFA, German and Italian football federations, and leagues like Italian Serie A as well as top clubs.

"This acquisition of Infront will significantly increase the future impact of the Wanda Group in the culture and enterainment industry and will also drive the development of Chinese sports industry and its interest around the globe," said Wang.

Wanda, founded in 1988, had been known for its real estate success, operating 109 Wanda Plazas and 71 hotels, but the group already started to shift its focus to service as well as entertainment and tourism while sport is going to weigh in Wanda's transformation.

Wanda was no stranger to Chinese sports as it was once owner of the Dalian Wanda football team in then the Chinese first division league, the predecessor of the current Chinese Super League. But Wanda sold the club in the year of 2000 over disillusionment with a league rife with corruption and scandals.

In 2011, Wang returned to Chinese soccer as a sponsor of the Super League. However, he did not just set his sight within China and showed the ambition to become a global force in sports.

Wang started investing widely in major European cities, including paying 52 million U.S. dollars for 20 percent of stakes in Atletico Madrid on Jan. 21.

Wang admitted Infront's sport resources was vital in Wanda's strategy.

"Infront, through its long-standing partnerships with some of the most important sports rights-holders, is top-connected in the global sports industry," said Wang.

"It is best-positioned to actively support China in its bidding efforts for major sports events, as it is already involved in the planning delivering, marketing and servcing of a broad array of top international events.

"By acquiring Infront, Wanda will also be in a position to increase its influence in the global sports industry," he said.

Wanda's move followed plans unveiled by the country's state council late last year which aimed at developing the country's sports industry and raising the sector's annual output to 5 trillion yuan (813.87 billion U.S. dollars) by 2025.

In 2013, China's sports industry sector witnessed a 11.91 percent increase to stand at 1.1 trillion yuan (about 177 billion US dollars).

The government expects the sector to become a major force of sustainable social and economic development by 2025 and encourages social capital to invest in the industry. Endi