Porto defender Danilo has reportedly verbally agreed to join Real Madrid this summer.

The 23-year-old, who has a £37m release clause in his Porto deal, is widely regarded as one of the best young full-backs in European football.

Manchester United were said to be the favourites for the Brazilian, but according to Marca, the defender has rejected interest from both United and Barcelona in order to agree terms with Real Madrid.

Real Madrid are believed to be prepared to pay Danilo's full release clause, but it is understood that Los Blancos are confident of completing a deal around the £18m mark.