Report: Inter midfielder Mateo Kovacic set to join Real Madrid in €35M deal

Inter midfielder Mateo Kovacic is set for a move to Real Madrid.

An agreement was reached Sunday, with the Spanish club preparing to pay €35 million for the 21-year-old, according to La Gazzetta dello Sport. The deal could rise to €40 million if certain requirements are met.

The Nerazzurri started spending again this summer, bringing in the likes of Geoffrey Kondogbia, Stevan Jovetic, and Joao Miranda in an attempt to get back into Europe.

But those moves appear to have consequences, as Inter could lose both Kovacic and Xherdan Shaqiri to foreign clubs in one week.

Kovacic signed a two-year contract extension in January, with club legend Javier Zanetti calling the young Croatian the best prospect in Europe since Cristiano Ronaldo.

Inter had already rejected an offer from Liverpool earlier in the year, and manager Brendan Rodgers was reportedly prepared to step up the bidding.

Club rival AC Milan also expressed some interest in Kovacic, but the price may have deterred the Rossoneri from any formal negotiations.

Kovacic made 35 appearances for Inter in Serie A last season, scoring five goals and assisting another three.

He arrived in Italy in January 2013 for €15 million from Dinamo Zagreb.