Chelsea have completed the signing of France under-21 international Malo Gusto from Lyon, and the 19-year old right-back will stay on loan at the Ligue 1 club until the end of the season.

ESPN sources have said the transfer fee could reach €40 million, with €30m guaranteed and a further €10m in potential bonuses on a 6½ contract.

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Chelsea were reluctant to loan the player back to Lyon but it proved to be the only way a deal could be agreed. Lyon president Jean-Michel Aulas insisted privately and publicly that the player would remain at the club until June.

Gusto only had 18 months left on his contract at Lyon and wanted to join Graham Potter's team.

He has played 47 times already for Lyon, his hometown club, including several European games and he is also on Didier Deschamps' radar for the national team after representing France across all youth levels.

Gusto is a very attacking right-back with great pace and crossing ability and will provide competition for England international Reece James.