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Barcelona and Hamburg have reached an agreement to sell Alen Halilovic to the Bundesliga club.

Goal can confirm that the Croatia international will move to Germany for a fee worth €5.5 million, after Barca's effort to keep him in Spain failed when Valencia talks broke down because of his wage demands.

Halilovic will sign a four-year deal with Hamburg, although Barcelona will retain a buyback clause on the young midfielder.

The Catalans will have the option to bring Halilovic back to Camp Nou for €10m at the end of his first season, a fee that will rise to €12.5m at the end of 2017-18.

The 20-year-old, who was overlooked by his nation for Euro 2016, joined Barcelona in 2014 from Dinamo Zagreb.

He spent the last campaign on loan at Sporting Gijon, where he scored three goals in 36 appearances.

- Goal

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