Ilkay Gundogan has completed his medical with Barcelona ahead of a free transfer from Manchester City.
The midfielder is out of contract at the Etihad Stadium and is on his way out, despite captaining them to a famous treble of the Premier League, FA Cup and Champions League this season. He had attracted strong interest from a range of clubs, including Arsenal.
But rather than joining the Gunners, Gundogan has instead chose to move to LaLiga and link up with Xavi. Barca won the Spanish title in the season just gone and are hoping for an improved performance in the Champions League next campaign.
The German midfielder underwent a medical in Munich, which he passed. Along with his agent, he met Barca sporting director Mateu Alemany to sign his contract, which will keep him at the Nou Camp for two years.
There is the option of a third year, though he will have to play more than half of Barca's games in his second season. Alemany closed the deal in Germany on Wednesday after a series of meetings since the end of the campaign.
Gundogan also held talks with new boss Xavi, who explained his vision for Barca over the coming season. That proved enough to convince Gundogan that Catalonia should be his next destination.
The news that Gundogan has opted to join Barca will desperately disappoint City boss Pep Guardiola. The Spaniard had maintained hope that the German midfielder would remain at the Etihad beyond the summer.
City had offered the 32-year-old an additional year, with the option of an extra year on top of that, but Barca's offer of a three-year deal swung it for him. Despite Guardiola wanting Gundogan to stay, City felt they had to be consistent in terms of their contract offers to players over 30 and stick with their original contract extension offer.
"He knows what I think. Maybe some of you know it, we are neighbours, we live on the same floor so for many years he is a close friend of mine," Guardiola said after City won the FA Cup.
"He plays exceptional. Hopefully we can finish in a good way. [Director of football] Txiki [Begiristain] is working [on the contract]. The season he has done is exceptional."
The news will also be a huge blow to Mikel Arteta, who had marked Gundogan out as one of his top targets for the summer. The Gunners boss had been hoping to bring in both Gundogan and Rice this window, though he appears set to be disappointed in both pursuits.
Arsenal will be left ruing how they allowed Gundogan to slip through their fingers as they look to boost Arteta's squad. Academy chief Per Mertersacker had insisted earlier this month that they were in pole position to sign him.
He said: "I think the clubs are queuing. Because [Mikel] Arteta knows him and we probably haven’t broken off contact, we’re in a good position. I think he’ll let it all sink in first and then choose from one of the four clubs."