Birmingham City's owners have rejected a £12 million offer for the club.

The Express & Star says owner Carson Yeung is reportedly holding out for £40m - half of the £81.5m he spent buying Birmingham three years ago.

Ex-Formula One boss Flavio Briatore and Solihull-based Gianni Paladini rescued QPR from extinction and took them to the Premier League before selling to Tony Fernandes last year.

Their offer has been immediately dismissed but Yeung may have to accept if he is found guilty when he faces trial on charges of £59m worth of alleged money laundering in November.