Real Madrid Closing In On Racing Santander Starlet Sergio Canales - Reports

Young Racing Santander midfielder Sergio Canales' future has been discussed more than once in the past couple of days, but it seems as if a decision has now been made about the 18-year-old's next career move.

According to several reports from Spain, Real Madrid have won the race for the youngster's signature. Los Blancos will reportedly pay a fee of €10 million for Canales.

The transfer fee will be divided between Racing Santander and Deportivo la Coruna, who own 50% each of the player's rights. The deal is likely to be completed by the end of this week.

Real Madrid are expected to farm Canales out on loan back to Racing Santander straight away in order to let the highly rated midfielder gain more valuable first team experience.

Barcelona, Chelsea, Arsenal and Manchester City were all believed to be keen on signing Canales as well, but the young midfielder has opted to head for the Bernabeu instead.