Norwich have announced the signing of defender Daniel Ayala from Liverpool, subject to paperwork.
The 20-year-old made five league appearances for the Reds during his time at Anfield, moving to the club from Sevilla in 2007 under the reign of Rafael Benitez.
Ayala was thought to be one of Liverpool's most promising players having come through the ranks to the first team, but found his opportunities limited behind the Reds' more established backline.
The player was spotted watching the Canaries 1-1 draw with Wigan at the DW Stadium on the opening day of the season as Norwich re-joined the top flight following promotion from the Championship last season.
Ayala, who made 16 starts for Derby last season whilst on loan, will become the eighth signing of the summer by manager Paul Lambert.
He follows James Vaughan, Steve Morison, Elliott Bennett, Bradley Johnson and Anthony Pilkington on a permanent deal, whilst Ritchie De Laet and Kyle Naughton have also arrived on loan.