West Brom have announced they have agreed to sell the club to Chinese investment group Yunyi Guokai (Shanghai) Sports Development Limited.
The group will buy Albion, subject to approval of the deal by the Financial Conduct Authority and the Premier League.
No price has been announced but chairman Jeremy Peace put the club on the market over a year ago and was initially looking for over £150 million. Peace is resigning his post after a 14-year stint at the helm and 16 years on the board. John Williams, the former Blackburn Rovers chief executive and chairman, will take up the role of chairman at WBA.
Peace said: "I believe this deal will enable Albion to build on the strong, sustainable foundations that have been the cornerstone of the Club's progress."
A statement released by West Brom read: "The Club can today announce that Chairman Jeremy Peace has agreed to sell West Bromwich Albion Holdings, the Club's parent company, to a Chinese investment group headed by Guochuan Lai.
"It will be an honour to become the new owner of this wonderful Club" - Guochuan Lai #WBA pic.twitter.com/UAdvhrjMM7
- West Bromwich Albion (@WBA) August 5, 2016
"The 42-year-old entrepreneur is the controlling shareholder in Yunyi Guokai (Shanghai) Sports Development Limited which will acquire Albion and usher in an exciting new phase of the Club's development, subject to approval of the deal by the Financial Conduct Authority and the Premier League."
Guochuan Lai said in a lengthy statement: "First and foremost, our goal is to ensure that we remain in the English Premier League and then beyond that, I would like to see the club establish itself in the top half of the division.
"The Premier League is famous for its excitement, entertainment, quality and drama. I believe it is the best league in the world and I want to take this club as far as possible. My intention is to maintain the current ethos in terms of day-to-day management and approach to the team and to supplement this with the great opportunities that China provides.
"My plan is to add to, rather than radically change the workings of the Club.
"I would like to re-iterate just how proud I am to have the chance to become the new owner of this Club and I believe that we have an extremely bright future ahead of us."
The Baggies will become the third Midlands club to have Chinese investment this summer after Championship sides Wolves and Aston Villa were sold.
Wolves, who have since appointed ex-Italy goalkeeper Walter Zenga as manager, were bought by Fosun International while Chinese businessman Dr Tony Xia completed his takeover of Villa in June.