Lionel Messi has agreed to take a 50 per cent pay-cut to sign a new five-year deal with Barcelona.
The contract will see Messi stay at the Camp Nou until he is 39 and will help the club with their cost cutting following warnings from LaLiga president Javier Tebas who says their spending must continue to be reduced drastically before Messi can be registered.
Messi’s previous deal, which was worth in excess of £425million over four years, expired on June 30.
Barca president Joan Laporta has remained determined to convince the club talisman to stay after Messi attempted to quit the club last summer.
Despite becoming a free agent and previous interest from Paris St German and Manchester City no talks with other clubs took place in recent weeks.
Messi is on holiday with his family after leading Argentina to Copa America glory over Brazil last weekend, his first major trophy with his country.
The 34-year old has been with Barcelona’s academy since 2000 amassing 778 games and scoring 672 goals.
Barcelona are continuing to cut costs to meet with La Liga’s financial FairPlay guidelines.
They have agreed to sign Sergio Aguero, Memphis Depay and Eric Garcia but are in the throes of streamlining their squad with debts around £1billion.
They have also opened negotiations with Atletico Madrid over a proposed swap deal involving Antoine Griezmann and Atletico midfielder Saul Niguez.