A British businessmen known as “the Plumber” is set to take control of Spanish football club Real Mallorca.

Paul Davidson, the entrepreneur who made around £40 million after floating his pipe-fitting company Fluid Leader on the Plus Market earlier this year, is believed to have paid around £50 million for the La Liga side.

Mr Davidson, who will take a 96 per cent stake in the side, is understood to have seen off competition for the club from former Newcastle United chairman Freddy Shepherd and an unnamed Russian investor.

A statement on Mallorca’s website said DRAC, the company that owns the club, had reached an “agreement in principle” with the business and investment group run by Mr Davidson, and that the agreement would be formalised in the coming weeks.

Mr Davidson has said he will leave football matters to the club’s management and that his interest in Mallorca is mainly to promote his business activities in Spain.

He is renowned in the City as being the first person to win legal costs from the Financial Services Authority after the regulator accused him of market abuse. Although the FSA won the first case, the decision was reversed at appeal.

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