On 27 June 1940, Admiral Cunningham commander of the Mediterranean Fleet ordered the 7th Cruiser Squadron, which included HMAS "Sydney", to rendezvous with an Egypt-bound convoy near Cape Matapan. The cruiser squadron sighted three Italian destroyers at 18.00 on 28 June 1940 and immediately engaged them. Within an hour, the was incapacitated and "Sydney" was signalled to sink her. As "Sydney" approached, "Espero" launched torpedoes, but failed to hit any targets. "Sydney" fired four salvos, scoring ten direct hits on "Espero". "Sydney" remained at the scene for two hours picking up survivors.