Chelsea agree terms with Atletico Madrid for Diego Costa

Premier League holders Chelsea have finalised a transfer package with Atletico Madrid for the sale of Diego Costa. The move will be completed in the New Year, subject to a medical and agreement of personal terms.

The Spain international contributed 20 goals during the Blues title-winning campaign last term, but his relationship with manager Antonio Conte is said to have been strained in the second half of the season.

Conte has spent the past couple of months in a self-imposed exile in Brazil after falling out with Conte, and the Blues have now confirmed that a formal agreement has been reached for his proposed return to Atletico Madrid.

The 28-year-old is now expected to have a series of medical tests and agree to personal terms prior to his switch to Madrid in January - when Atleti's transfer ban concludes.

"Chelsea football club has today agreed terms with Atletico Madrid for the transfer of Diego Costa. The transfer will be subject to the agreement of personal terms and a medical," a statement read on Chelsea's official website.

Chelsea are understood to have agreed on an initial fee of around £53m for Costa, who will reunite with Diego Simeone at the new Wanda Metropolitano Stadium.