Transfer news: Luke Shaw undergoes Old Trafford medical as Manchester United finally agree deal to sign Ander Herrera

Southampton defender close to £34m move as club secures services of Spanish midfielder

Luke Shaw found himself at Old Trafford the day after arriving back from England’s World Cup flop (AP)

Just one day after returning from England’s disastrous campaign in Brazil, Luke Shaw was undergoing a medical at Old Trafford ahead of a £34 million move from Southampton to Manchester United.

The news about the highly rated 18-year-old defender came hours after United had announced another big-money transfer, securing the services of the Spanish midfielder Ander Herrera from Athletic Bilbao.

The double signing will come as a major boost to disgruntled United supporters as new manager Louis van Gaal strengthens the squad in the aftermath of David Moyes’s disastrous season in charge – at the same time as he masterminds the Netherlands’ impressive World Cup adventure in Brazil.

United finally agreed to meet a buy-out clause in Herrera’s contract after they had seen a bid of £28.85million for the 24-year-old rejected earlier in the day. Herrera had caught the eye when he played for Bilbao in the surprise 3-2 defeat of United at Old Trafford in a last-16 Europa League tie in March 2012. He said: “Signing for Manchester United is a dream come true. I have played at Old Trafford for Athletic Club in the Europa League and it was one of the highlights of my career so far.

“I can’t wait for my first game in United’s famous red shirt.”

Meanwhile the Premier League champions, Manchester City, have not been idle in trying to keep their cross-city rivals at arm’s length. They completed the signing of the Porto defensive midfielder Fernando for a fee of £12m.

City had been strongly linked with a double deal for the 26-year-old Brazilian and his team-mate Eliaquim Mangala in January but a move did not materialise, with Fernando signing a new contract instead.

City have been restricted to a total spending budget of £49m this summer as punishment for breaching Uefa’s Financial Fair Play regulations. The capture represents more good value for money following the arrival of Arsenal right-back Bacary Sagna on a free transfer.