Liverpool have completed the signature of young midfielder Marko Grujić for a fee in the region of £5.1 million, the club have officially confirmed.
The 19-year-old completed a medical on Merseyside on Monday morning after the Reds agreed a deal with Red Star Belgrade before Christmas - before putting pen-to-paper on a five-year contract.
Despite rumours suggesting he could stay with Liverpool and compete for a place in Jürgen Klopp's first-team, the move will see Grujić return to his homeland to see out the rest of the Serbian SuperLiga campaign on loan at Red Star before returning to England in the summer as originally planned.
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Highly-rated Grujić is currently enjoying a stellar campaign with Red Star, scoring five goals so far this season and helping them to sit at the top-of-the-table with an unbeaten record after 22 games - 25 points clear of second.
He is the latest talent to emerge from the club's excellent youth academy, but Miodrag Božović's side need to raise funds in order to rid themselves of the debt which prevented them from playing in the UEFA Champions League last year.
It is thought the fee is sufficient enough for the Serbian outfit - who produced the likes of Nemanja Vidić, Nikola Žigić and Dejan Stanković - is enough for them to ease the financial concerns which saw them nearly liquidated just 18 months ago.
In a club statement, they revealed that Liverpool's offer was worth €7 million plus 10% of the player's next transfer and said that all at the club "sincerely want to see Grujić playing in our uniform for the next 10 years, but the financial situation of our club dictates the adoption of a different decision."
On the part of the deal that will see him return to the club on loan as per Grujić's father's wishes, they added that they are "convinced" that the player "has the quality for a great club and that in England he can make a great career" at Liverpool, who they called a club which is "probably the dream of every player on the planet."
The Reds fought off interest from Inter Milan, Stuttgart and Anderlecht as well as beating off Russian sides CSKA Moscow and Zenit St Petersburg, despite offering up to £7 million, thanks to Klopp intervening and speaking personally to the midfielder after being advised to by his Serbian assistant manager Željko Buvač.
The Serbia U21 international - part of the squad which won the 2015 FIFA U20 World Cup in New Zealand last summer - has been likened to Liverpool legend Steven Gerrard for his box-to-box style and his athletic and attacking qualities.
Grujic says he's delighted to join Liverpool
Speaking to Liverpoolfc.com after the move was made official, Grujić announced himself as "very excited and so proud to be here and a member of Liverpool Football Club."
The Serbian added that he "can't wait to get started, play at Anfield and train at Melwood" as he explained that it was "good for me to come here and try to be the best I can."
On the club he would be joining, he added that he is relishing the opportunity to play "in front of one of the loudest set of fans in Europe at Anfield" and also hailed the atmosphere at other English grounds and their "very good" crowds, saying: "I like to play under pressure and that’s why I've come here, because it brings out the best in me."