Real Madrid announced Tuesday that it has signed right back Danilo from FC Porto, with a transfer fee of $33.8 million. The new deal for the 23-year-old defender has him tied up by the La Liga giants, who he will be joining following the season, up to June 30, 2021.

"I'm happy to be associated with great clubs like Real Madrid," Danilo said last week even before the announcement was made. Real Madrid had long been rumored to be in the hunt for a young defender.

Other right backs currently on the team include 23-year-old Dani Carvajal, and 32-year-old Alvaro Arbeloa.

Danilo Luiz da Silva, Danilo's full name, first joined Portuguese club Porto back in 2012 and was a big part of their run to the Champions League quarterfinals this season. During his time with the team, he won two Portuguese league titles, alogn with two Super Cups.

On a side note, te made his debut for the Brazilian national team back in 2011 when he was 20-years-old.

In other transfer news, Jose Luis Gaya turned down a contract renewal from Valencia amidst rumors of Real Madrid having interest in him. According to a Football-Espana report, the 19-year-old turned down an offer, which would extend his deal up to 2021, and increase his annual salary from €250,000 to €1.5 million. There is speculation that Gaya's agents are aware of the interest from real Madrid and are keeping their options open.

The report also stated that sources claim Gaya and his camp does not want the release clause fee to exceed €30 million. The rejected contract reportedly increased the teenager's release clause fee from €18 million to €40 million.

Another rumored Real Madrid transferee is on-loan Manchester United striker Radamel Falcao. Samuel Luckhurst noted that recently, the Columbian followed the Spanish giants on Twitter. Rob Draper of the Mail on Sunday has said that Real Madrid has kept an eye on the striker for a while now.

After news came of the innocuous social media move, Falcao has since unfollowed Real Madrid.