Man United now one step from Manuel Ugarte transfer after £60m deal reached

Manchester United could be free to complete a move for Paris Saint-Germain midfielder Manuel Ugarte after the Ligue 1 champions signed Joao Neves from Benfica.

Nineteen-year-old Portugal international Neves had been linked with a move to Old Trafford, while Premier League rivals Liverpool were also among several high-profile European clubs that were linked with a move for the defensive midfielder. In the end, though, Neves agreed a move to PSG and on Monday afternoon, he was officially unveiled at the Parc Des Princes after signing a five-year deal with Luis Enrique's side.

Speaking after the midfielder put pen to paper on a long-term contract in the French capital, PSG chairman Nasser Al-Khelaifi said: "We are delighted to welcome Joao Neves to the Paris Saint-Germain family. Joao is one of the most talented players in Portugal and internationally.

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"He was so passionate to join Paris Saint-Germain and determined to fight for the jersey - which is what we expect of all our players. We continue to build a fantastic young team at Paris Saint-Germain - based on teamwork, talent and collective spirit - which is the foundation of our Club's great future."

But despite Neves favouring a move to Ligue 1 over the Premier League, his transfer could prove to be positive news for Manchester United in their pursuit of PSG midfielder Ugarte. United have identified the Uruguay international as someone who could improve their midfield ranks ahead of the new season.

"We are looking in all of the positions to reinforce and we are looking for a plan in our squad to reassure ourselves we are always occupied," said Erik ten