Atletico Madrid are ready to cough up to Chelsea for the permanent signing of Alvaro Morata.

The Telegraph says Atletico are preparing a bid for Morata after being told to pay £50m to keep him from returning to Chelsea.

Last week, the Blues issued an ultimatum demanding a permanent transfer this summer or a recall from his 18-month loan deal.

And now Atletico are lining up a move to avoid having to send him back to England.

The Spaniard has returned to pre-season training with Atletico and is believed to be optimistic that a deal can be a struck.