Chelsea close to announcing Tiago Mendes signing?

Atletico's Tiago Mendes celebrates a goal against Rayo on August 25, 2013
© Getty Images
Chelsea are close to announcing the signing of out-of-contract midfielder Tiago, a report suggests.

Chelsea are reportedly close to announcing the signing of midfielder Tiago Mendes after he rejected a new contract at Atletico Madrid.

Having reached an agreement with the Spanish champions to sign striker Diego Costa, the Blues are now ready to complete Tiago's free transfer to Stamford Bridge, according to the Daily Star

Tiago, who left Chelsea in 2005 following one season at the club, is said to have agreed on a two-year deal.

The same report suggests that the Premier League outfit could also capture left-back Filipe Luis from Atletico for a fee of £20m later this month.

Chelsea have already signed Cesc Fabregas this summer from Barcelona.

Filipe Luis of Atletico de Madrid looks on during the Spanish Super Cup second leg match between FC Barcelona and Atletico de Madrid at Nou Camp on August 28, 2013
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