Bayern Munich have agreed a deal to buy Barcelona midfielder Thiago Alcantara for£21.6m, beating Premier League champions Manchester United to his signature.
The 22-year-old was rumoured to be a transfer target for David Moyes, but appears to have opted to rejoin his old coach Pep Guardiola at the treble winning Bayern Munich side.
Bayern Munich emerged as serious contenders for his signature when Guardiola stated: "It is either Thiago or nothing."
And Bayern Munich chairman, Karl-Heinz Rummenigge has strongly hinted that a deal has been struck for the midfielder.
"Thiago is a fantastic player with great perspective, which will strengthen Bayern," he said.
"Thiago Alcantara was the great desire of our new coach Pep Guardiola."
It is believed that Bayern will pay around £17million up front, with Thiago giving up some money and a friendly with Barcelona thrown into the equation.
The midfielder won and captained the U21 European Champions in June and scored a hat-trick in the first half of their final against Italy.
The Italian-born midfielder is the son of Brazil legend Mazinho and is known for his good touch and technical ability.
Thiago had previously been touted as the natural successor to Xavi for both club and country.
Thiago will join attacking midfielder Mario Gotze as one of Bayern Munich's marquee signings of the summer, whilst the German champions have also signed Mainz defender Jan Kirchhoff.
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