Manchester City agreed to a £30 million ($38 million) deal with Chelsea to sign midfielder Mateo Kovacic.

The treble winners paid an initial £25 million for the 29-year-old Croatia international, with a further £5 million to follow in potential add-ons.

Kovacic, who joined Chelsea from Real Madrid in 2018.

The midfielder has become City’s first signing of the summer transfer window .

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Gundogan’s contract expires at the end of this month and the German international has not yet agreed on new terms.

Kovacic, who won the Champions League three times with Real and once with Chelsea, is likely to be one of several departures from the London club as new manager Mauricio Pochettino trims his squad.