Tottenham manager Andre Villas-Boas has confirmed that Gareth Bale will be joining Real Madrid.
Villas-Boas said Bale "is a wonderful player. He is going to join Real Madrid so we wish him all the best. He has left us with great memories."
The Spanish giants are expected to make an announcement later today.
Real Madrid Manager Carlo Ancelotti has brushed off suggestions that Gareth Bale has already agreed to join the Spanish club claiming "he is still a Tottenham player".
Reports in Spain on Saturday suggested that Bale has finalised a deal that could break the world transfer record of £80m, paid by Real Madrid for Cristiano Ronaldo in 2009.
But Ancelotti says that despite one of the longest running transfer sagas in recent years he is not preparing for life with the Welshman in his side...yet.
Real Madrid have completed the transfer of Gareth Bale on a six-year deal, according to Spanish sports newspaper AS.
According to club sources, the Spanish club will pay Tottenham 84 million euros for the Wales international plus an extra seven million euros in add-ons - equivalent to £78m.
The price Madrid will pay for Bale falls short of the £84m they laid out for Cristiano Ronaldo in 2009, although neither Real Madrid nor Tottenham have disclosed the final price.
Gareth Bale has agreed personal terms with Real Madrid ahead of his £86m record-breaking move from Tottenham, according to BBC reports.
It is claimed the Spanish giants are still in discussions over the fee for the 24-year-old forward, with a bid of £86m already submitted to Spurs.
In addition to the world-record offer, which beats the £80m paid by Real Madrid to Manchester United for Cristiano Ronaldo in 2009, the Spanish club have also made an alternative bid of £70m - a one-off bid for the Wales international.
Bale, who joined Tottenham in a £10m deal from Southampton in 2007, was named player of the year by both the Professional Footballers' Association and Football Writers last season after scoring 26 goals for Spurs.
He has been linked with a move to Real all summer, with Spurs manager Andre Villas-Boas saying on Wednesday the transfer "could happen very, very soon".