Qatar Sports Investments acquired a 70 percent ownership stake in Paris Saint-Germain on Tuesday.
Paris city hall made the announcement in a statement.
PSG said its American owner, Colony Capital, will keep 30 percent of the shares. Financial terms of the deal were not announced.
QSI was set up in 2005 by Qatari prince Sheik Tamim Bin Hamad Al Thani. The fund's previous investments include a golf club and health spa in Doha.
PSG, which will play in next season's Europa League, added ''this new partnership is aimed at guaranteeing the development and the growth of the PSG on a long-term basis.''
PSG has struggled in recent years because of poor results and hooliganism but managed to win the French Cup last year and placed fourth in the French league this season.
The deal marks the latest in a series of investments by oil-rich Gulf investors into European football clubs.
A Dubai business group last month said it agreed to pay at least $100 million for Spanish club Getafe. The investors, who were not backed by the emirate's government, plan to add the words ''Team Dubai'' to the club's shirts, stadium and other merchandise.
Another member of the Qatari ruling family bought Spanish club Malaga last year. The family has also been rumored to be interested in Manchester United, but the English Premier League club's owners aren't willing to sell.
In 2008, Sheik Mansour bin Zayed Al Nahyan, a member of the ruling family of Abu Dhabi, took over that team's rival, Manchester City.
Tiny Qatar ranks as one of the world's richest countries per capita. It is the world's largest exporter of liquefied natural gas - a major source of the OPEC member's wealth.
Adam Schreck in Dubai, United Arab Emirates contributed to this report.