UPDATE 1-China's Fosun buys 10 pct of Russia's top gold miner

(Adds details, quotes, context)

MOSCOW, May 31 (Reuters) - Russian tycoon Suleiman Kerimov's family said on Wednesday they were selling 10 percent of Russia's top gold producer Polyus to a consortium of investors led by China's Fosun International Ltd for $887 million.

Fosun, an acquisitive Chinese conglomerate, has been in talks since last year to buy a Polyus stake.

Polyus Gold International Limited (PGIL) said in a statement that it would sell 12,561,868 Polyus shares to the Fosun-led consortium for $70.6025 per share.

"We are delighted to enter into this agreement to acquire a significant stake in Polyus," Wang Qunbin, Fosun's Chief Executive, was quoted as saying in the statement.

The consortium, which includes two of Fosun's affiliates - Zhaojin Mining and Hainan Mining - will be a strategic long-term shareholder, he added.

Kerimov's family also said it had granted the consortium an option to acquire up to an additional 5 percent in the company for $77.6628 per share by the end of May 2018. Polyus shares were down 0.5 percent in Moscow on Wednesday at 4,425 roubles ($77.87). ($1 = 56.8246 roubles) (Reporting by Polina Devitt; editing by Dmitry Solovyov and Alexander Smith)