Man City agree transfer fee and personal terms with only one obstacle in way of Chelsea deal

Manchester City have secured general agreements on the transfer fee to sign Mateo Kovacic from Chelsea and personal terms, but one negotiation still remains – according to the latest update.

Kovacic became a surprise target for Man City recently as he approaches the final year of his contract at Chelsea. In theory, he could replace Ilkay Gundogan if the club captain leaves the treble winners.

After Chelsea failed to qualify for any European competition next season, Kovacic has become keen on the move to Man City, who will be defending the Premier League, FA Cup and Champions League trophies next season.

Indeed, a report last week indicated that Kovacic had agreed personal terms with Man City, putting the ball in the club’s court ahead of negotiations with Chelsea.

Now, ESPN has revealed that Man City have reached a ‘broad agreement’ with Chelsea about how much they will pay for Kovacic. The total package will be worth in the region of €40m (£34.2m).

On top of the agreement on personal terms, it should mean a deal is close. But there is still a key part of the negotiations to address.

The report states that, although the fee of €40m has been agreed, the structure of the deal is yet to be decided. In short, Man City and Chelsea need to find a compromise about what the initial payment will be before bonuses take it towards the agreed £34m mark.

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Kovacic transfer to go through this month

Nevertheless, there is confidence that a complete agreement can be reached within the next fortnight. It would be ideal for Chelsea to cash in on Kovacic before the end of the month because of Financial Fair Play.

That way, they could include the money raised from his sale on this season’s accounts. After spending more money than any other club on new players last summer and in January, every effort of that kind will be important to avoid serious scrutiny by UEFA.

Chelsea could also bid farewell to Mason Mount, Conor Gallagher, Ruben Loftus-Cheek and N’Golo Kante this summer – and that’s just from their midfield.

Kovacic, now 29 years old, would be leaving after 221 appearances of a Chelsea career that began when he joined them from Real Madrid in 2018.

During his time with the club, he has won the Champions League and Europa League. But new head coach Mauricio Pochettino might never get the chance to work with him.

Once Man City sign him, they will reportedly turn their attention to signing his Croatia teammate Josko Gvardiol in order to strengthen their defence.