HONG KONG: A mainland-born local businessman, Albert Hung, is closer to becoming the second-largest shareholder of the NBA Cleveland Cavaliers. A Michigan investment firm confirmed the deal yesterday.

The purchase of the 15 percent share would make Hung the second-largest shareholder after team owner Dan Gilbert, said David Katzman, Cavaliers vice chairman.

Katzman disclosed it was an all-cash deal, which is expected to be approved by year's end. Terms of the deal were not disclosed. The deal naming Hung as the major new investor followed speculation earlier in the year that another mainland-born American financier, Kenny Huang, would buy a stake in the team.

Hung, who normally keeps a low profile, has pretty high influence.

Born in Fujian province in 1948, he moved to Hong Kong with his mother at the age of 11. Hung started out poor, but developed into a man of substance in political, economic and social circles.

He was involved in real estate, finance, hotels, high-tech, and new energy sources. Hung was also widely recognized as a philanthropist, having given more than 100 million yuan in contributions to charities.

The China Sports Foundation, as one example, was launched with Hung's HK$50 million donation to the General Administration of Sports of China in 1994.

Forbes magazine ranked the Cavaliers last week as the fifth most valuable NBA team at $476 million. Buying a 15 percent stake in the Cavaliers hardly seems a problem to Hung.

Hung is keen to promote sports development in China. He holds offices in several sports associations. He is the vice president of the China Sports Foundation, vice chairman of the Major Sports Events Committee, a member of the Football Betting and Lotteries Commission, the president of All Stars Sports Association (Hong Kong), and the vice president and director of the South China Athletic Association.

Hung is also influential in politics. He is a member of the Standing Committee of the National Chinese People's Political Consultative Conference.

In Hong Kong, Hung was appointed by the HKSAR government as Justice of the Peace, and a member of the Hong Kong Selection Committee responsible for electing the Chief Executive.

Stories about Chinese takeovers of major sports teams abroad also were flying in the UK. The world's biggest football club, Manchester United, is reported to have received a takeover bid by a group of Chinese entrepreneurs. The offer reportedly was turned down by the Glazer family, which owns United, according to a report of News of the World.

Glazer said, "Manchester United is not for sale," even while the club is under pressure to service its mounting debts, according to the same report.

(HK Edition 12/16/2009 page1)