Atletico Madrid have reached an agreement with Villarreal to sign Uruguay striker Diego Forlan, the Primera Liga clubs said.

Atletico said the 28-year-old international, who is representing his country at the Copa America in Venezuela, would sign a four-year contract.

A deal was reported close to being secured for a fee of about 21 mn Euros.

Atletico's move to sign Forlan puts the future of their leading scorer and captain Fernando Torres in doubt. Media in England and Spain have linked the Spain striker with a possible move to Liverpool.

Forlan joined Villarreal from Manchester United in 2004 for a reported fee of USD 3.8 mn after a frustrating period at Old Trafford.

With Villarreal he was top scorer in the Primera Liga with 25 goals in 2005 and bagged a further 19 last season.