27/06/2013 08:18 BST | Updated 27/06/2013 08:54 BST

Isco Signs For Real Madrid

JERUSALEM, ISRAEL - JUNE 18: Isco of Spain kisses the trophy after winning the UEFA European U21 Championship final match against Italy at Teddy Stadium on June 18, 2013 in Jerusalem, Israel. (Photo by Alex Grimm/Getty Images)

Isco has completed his €28 million transfer to Real Madrid from Málaga.

The 21-year-old, outstanding for Spain during their Under-21 European Championship triumph in Israel this month, has signed a five-year contract with Los Blancos.

Manchester City were interested in bringing Isco to the Premier League, and despite the Manuel Pellegrini factor Isco has opted to remain in Spain.

Pellegrini gave Isco his Málaga debut in 2011, as the ebullient attacker emerged as the team's talisman.

Isco was exceptional in the Champions League, where Maálaga reached the quarter-finals, only to be memorably eliminated by Borussia Dortmund.

New Madrid coach Carlo Ancelotti was asked about the former Valencia man yesterday at his press conference.

The Italian said: "From what I have seen of him, it's clear he has a lot of quality.

"Spain's Under-21 side has a lot of great players and he is one of the best.

"He could get into any team in the world, so he could also play for Madrid."