China is funding a bid to buy Liverpool FC, as Beijing seeks to extend its rapidly growing global influence into the world of British sport, reports said yesterday.

China’s overseas investment arm China Investment Corp (CIC) is providing funds for the bid fronted by businessman Kenny Huang to acquire the top sporting brand, reported Britain’s The Times and Guardian newspapers.

The news is a dramatic twist in the saga of troubled Liverpool, whose American owners put the Premier League club up for sale in April, weighed down by more than £200 million of debt.

CIC’s emergence as a bidder for Liverpool sets up a takeover battle, with the Chinese pitted against a private equity group and a wealthy Kuwaiti family for control of the club. The Chinese sovereign wealth fund’s bid values the club at between 300 million and 350 million pounds, said The Times, citing insiders.

If the takeover attempt succeeded, CIC would end up owning the majority of the club.

The fund would expect to make money by building a bigger stadium and developing the club’s Asian fan base, said The Times.

Speculation has been mounting about Chinese sports tycoon Huang’s interest in the club, and he was forced to issue a statement Wednesday denying reports he had made a formal bid.

Huang, the head of Hong Kong-based investment company QSL Sports Ltd, is believed to want to secure an early agreement to give manager Roy Hodgson time to bring in reinforcements before the end of the transfer window.