In a much awaited move, Real Madrid has signed a deal over loaning its young midfielder Sergio Canales to Primera Division rivals Valencia, though financial terms have been kept under wraps.

After fulfilling his commitments with Spain at the Under-20 World Cup in Colombia, the 20-year-old Canales will be teaming up with Valencia later this month. Earlier, Canales had played with Aston Villa, Everton and Premier League new boys Queens Park Rangers.

Confirming the news, Canales said on www. valenciacf. com: "I'm very pleased that a club like Valencia have been interested in me. It fills me with pride to come to Valencia and it's where I wanted to play”.

However, the Valencia President, Manuel Llorente, is of the opinion that the way Barcelona and Real Madrid have been playing for a long time, interest in the Spanish game might fizz away.

"La Liga is a competition of the highest level, but there exists a big difference between the two top teams and the rest”, Llorente said to AS.

Furthermore, Llorente suggested that soon every single side would agree to settle for a third spot as Barca and Real are also the dominant forces in the UEFA Champions League.