Valencia striker David Villa, one of the stars of
Spain's victorious
Euro 2008 squad, has signed for Real Madrid for close to 40 million euros, a Spanish newspaper said Saturday.
Marca, citing sources at Real Madrid and Valencia, said both clubs were hammering out the fine details of the deal before officially announcing the transfer.
If confirmed, Villa would become the third big name to join the club under new president Florentino Perez, after Br azilian playmaker Kaka and Portuguese winger Ronaldo from AC Milan and Manchester United respectively.
Perez has established a 200-million-euro war chest for players, vowing to create a "spectacular team" capable of overtaking arch-rivals Barcelona next season.
The top scorer at Euro 2008, the 27-year-old Villa scored 28 goals in the Spanish championship this season.
But Valencia is reportedly ready to sell some of its top stars in a bid to ease its financial difficulties.
Perez returned as president of Real on June 1.
During his first stint, from 2000 to 2006, he oversaw the era of the "Galacticos" when world stars such as Zidane, England's David Beckham and Br azil's Ronaldo were attracted to the club.