Boca Juniors have confirmed that they have agreed terms with Real Madrid for Fernando Gago.
Real have been chasing the 20-year-old midfielder for a number of weeks and have finally got their man.
They have beaten off a host of Europe's biggest clubs to land Gago, who will be their third South American swoop during the last month.
Brazilian defender Marcelo has already signed from Fluminense and forward Gonzalo Higuain has agreed his move from River Plate.
Now Gago will be the third to agree terms and he will be the most expensive after Real agreed to pay é¼20million for his services.
"The talented Boca midfielder Fernando Gago will be transfered to Real Madrid for $27million," Boca revealed.
"A faxed offer arrived this Wednesday at the club and has been accepted."
Both Gago and Higuain are expected to be unveiled by Real before the weekend.
The purchase of Gago will push Real's spending through the £100million barrier since Ramon Calderon captured the presidency back in July.