Carlos Tevez close to leaving Manchester City for Juventus

Carlo Tevez is on the brink of ending his eventful seven-year stay in English football after Manchester City on Tuesday accepted a 10 million pounds offer from Juventus for the Argentine.

The striker has won every major club honour since arriving in the Premier League in 2006 with West Ham United and subsequently joining Manchester United and Manchester City but is now in the final year of his contract.

With bonuses, Tevez's existing City contract is potentially worth as much as 17 million pounds over the next 12 months and the club are keen to ease their wage bill. City sporting director Txiki Begiristain and Ferran Soriano, the chief executive, held talks in London yesterday with Juventus officials and reached agreement on a fee that is partially performance related and worth 10 million pounds.

Significantly, Tevez has not yet agreed personal terms with Juventus, although there is a hope that he will be in Italy tomorrow to undergo a medical. If personal negotiations progress smoothly and there is no unexpected hitch with the medical, the deal could be completed within 48 hours and he will be offered a three-year contract.

Tevez's prospective move to Juventus represents a further boost to Arsenal's attempt to sign Gonzalo Higuain from Real Madrid. Juventus had been their main rivals for Higuain and, with Carlo Ancelotti appointed yesterday as Real Madrid manager, Arsenal are now hoping to push through the transfer before the start of pre-season training on July 4.

A deal has been agreed in principle and, although negotiations have been slowed amid the managerial uncertainty at Madrid, there is now confidence that the Argentine international will become Arsene Wenger's record signing at around 22 million pounds.

Ancelotti's arrival at Madrid will also help finalise the future of Napoli forward Edinson Cavani, who is understood to favour a move to the Bernabeu over joining Jose Mourinho at Chelsea. A Napoli-based radio station claimed yesterday that a 49.3 million pounds deal has been agreed with Chelsea but, although Mourinho is keen on signing Cavani, nothing will be finalised until he returns from the Confederations Cup with Uruguay.

Chelsea's opening offer was understood to be around 40 million pounds but Cavani's buy-out clause stands at 53 million pounds (63 million euros) - a fee that has already encouraged City to evaluate other targets. "I don't think I'm worth 63 million," said Cavani yesterday.

"What I want to do is sit down face to face with the club president and decide my future together. Real are one of the best clubs in the world, but there is no deal yet. When you're a kid, you dream about playing at a team like Madrid."

Radio Marte yesterday reported that Chelsea had already made an acceptable offer. "We have received news in the office from a very reliable source that Napoli have sealed a deal with Chelsea for Cavani's sale," it said.

Chelsea have not commented on this report but there is a sense that Napoli are now attempting to create an auction and pressurise Real into coming forward with an offer.

The arrival of Ancelotti at Real will contribute to a general escalation in transfer activity across Europe over the next fortnight, with many of the main deals interlinked and dependent on the key managerial appointments.

It was also significant that Laurent Blanc should succeed Ancelotti at Paris St-Germain on a one-year deal with the further option of a second season. This again points towards PSG's desire to recruit Wenger once his Arsenal contract expires at the end of next season.