Chelsea have suffered a transfer blow with Paris Saint-Germain winning the race to sign Sporting midfielder Manuel Ugarte.

The Uruguayan was heavily linked with the Blues, and it was reported that he could join them instead of Les Parisiens.
However, the French champions have won the race to land him after agreeing to offer a higher salary than the Blues.
Ugarte has undergone his medical with the Parisian club and he is expected to sign a six-year contract by tomorrow.
The news will come as a setback for the Blues, who had identified Ugarte as one of their main summer transfer targets.
The London giants are likely to spend with more caution this summer as they need to be wary of Financial Fair Play.
The Blues agreed a long-term payment plan to sign Ugarte for €60m, but the player decided that he wanted to join PSG.
Apart from Ugarte, Les Parisiens are also expected to land Marco Asensio on a free transfer from Real Madrid.

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