Real Madrid have signed Manchester City forward Brahim Diaz on a six-and-a-half-year contract.

Diaz will undergo a medical with the European champions on Monday before being presented at the Santiago Bernabeu.

The Spain Under-21 international is reported to have cost Madrid an initial €17million, with both clubs confirming the deal on Sunday.

A youth protege at Malaga, Diaz joined City in 2013 and was handed his debut by manager Pep Guardiola in the 2016-17 season.

He went on to make 15 senior appearances and scored twice in the EFL Cup fourth-round win over Fulham this season, starting each game in City's run to the semifinals.

Guardiola said the reigning Premier League champions had done "absolutely everything" to persuade Diaz to sign a long-term contract extension as speculation mounted over Madrid's interest.

However, the versatile attacker has not added to his five Premier League substitute appearances this term and the prospect of greater first-team opportunities at Madrid is understood to have been a motivating factor in his decision to leave the Etihad Stadium.

Diaz is the second jewel of City's academy system to leave for a major European club in the past 18 months, following winger Jadon Sancho's switch to Borussia Dortmund in 2017.

Sancho has since broken into the England setup after proving to be a revelation at Signal Iduna Park this season.

City were 7-0 winners over Rotherham United in the third round of the FA Cup on Sunday, with Diaz and Sancho's former youth-team colleague Phil Foden getting on the scoresheet.

Meanwhile, Madrid remain fifth in LaLiga after their lacklustre campaign continued with a 2-0 defeat at home to Real Sociedad that increased pressure on boss Santiago Solari.