European Champions League winners Real Madrid have confirmed the free transfer of Kylian Mbappe from Paris Saint-Germain.

Despite paying 166 million pounds for Mbappe in 2018, the French club have lost Mbappe on a free transfer to Real Madrid.

It represents an enormous loss for the French giants, and an enormous win for the Spanish club, with Real Madrid's deal for Mbappe worth 12.8 million pounds per year after tax.

The 25-year-old will also receive a staggering 85 million pound signing bonus from Madrid to be paid in instalments over the duration of his deal.

The deal was confirmed with a single-line statement which read: "Real Madrid CF and Kylian Mbappe have reached an agreement whereby he will be a Real Madrid player for the next five seasons."

Real Madrid, in addition to winning the Champions League, also saw off a challenge from Barcelona for the 2023-24 La Liga crown to take the title by ten points. It's the second time in three seasons Real Madrid have been crowned the Spanish champions.

Adding Mbappe - who is one of the best forwards in the game and currently the captain of the French national team - will only strengthen the team, with the star coming off his best goal-scoring season during his time at PSG.

Mbappe is PSG's leading goal scorer of all time with 256 to his name, while he won 17 trophies during his seven years at the club, including six league titles.

Mbappe took to social media to express his delight at the move, saying it was "a dream come true" to be representing the Spanish club for the next five years.

Real Madrid had previously attempted to sign the forward in 2022.

It's believed PSG will have over 200 million pounds available to them from no longer paying Mbappe to raid the transfer market.