Tottenham have won the race to sign Croatia midfielder Luka Modric for a fee believed to be £15.8m.

The Carling Cup winners have agreed terms with the in-demand 22-year-old, fending off interest from Premier League rivals Newcastle.

The play-maker will leave Dinamo Zagreb for White Hart Lane this summer subject to passing a medical.

Modric must also obtain a work permit but that should be a formality as he is a regular in the Croatia national team.

On Tuesday, Modric was reported to have been on Tyneside to discuss a move to Kevin Keegan's Newcastle and visit the club's training ground.

Recent reports have also linked him with Manchester City, Chelsea and Arsenal.

The signing of Modric is a major coup for Spurs manager Juande Ramos and the Tottenham hierarchy, who needed to make a statement of intent with the team falling away badly after their Wembley triumph against Chelsea in February.

Spurs' season has fizzled out disappointingly with just a single win in their last seven league games, and a swingeing overhaul of the squad was predicted for this summer, but the signing of Modric has comes as a major surprise.

After making his name in the Bosnian league as a teenager, Modric moved to Croatian club Inter Zapresic before joining Dinamo in 2005.

He made his debut for Croatia a year later and has gone on to win more than 20 caps for Slaven Bilic's side - including the home and away victories over England that cost them their place at Euro 2008