Spanish football giants Real Madrid signed a letter of intent with Chinese club Guangzhou Evergrande on Tuesday, aiming to make cooperation on academy, player exchange and brand promotion.

"We are working together to establish a football academy in China, which I think is the first step of our cooperation," said Florentino Perez, president of Real Madrid football club.

Guangzhou Evergrande, the newly promoted Chinese super league club, are enjoying their 9 points advantage in CSL table. They have kept making splashes in the new season as the acquisition of 10 million dollar Conca and frequently showing its ambitions of world champions.

"I could never find a better time for building a football academy than today, when the country has started its right pace on football and the people are so eager to join this sport," said Xu Jiayin, president of Guangzhou Evergrande group.

Xu revealed that the academy would admit more than 10,000 youngsters, forming the country's largest football school ever in history.

Perez said Real would send football trainers and senior managers to help Guangzhou on the football academy. He also revealed that the two sides are striving to cooperate on other aspects like player exchanging and brand promotion.

"We are building close relationship with Guangzhou Evergrande, we believe we will be closer as time goes by," Perez said.

Real Madrid will have a friendly match against the Guangzhou side on Wednesday night, concluding their 4 days journey in the south coast city and heading to Tianjin to continue their second stop of 2011 China Tour.