Chelsea lose major Rafael Leao transfer leverage after AC Milan finally settle £17.5m dispute!

Chelsea's hopes of signing AC Milan's Rafael Leao this summer have been dashed as the Rossoneri have reached an agreement with the Portuguese international to extend his contract for a further five years.

Chelsea had committed to paying Sporting CP €20 million compensation if Leao left Milan, but the fine has now been settled by Lille, who have agreed to pay most of it and also reportedly guaranteed a slice of any future transfer profits. Rio Ferdinand has praised Leao as having huge potential and predicted that he will eventually sign for one of the big clubs in Europe.