Porto have signed midfielder Marko Grujic for £10.5m from Liverpool.

Serbia international Grujic, 25, spent last season on loan at Porto, making 28 league appearances and eight Champions League outings for them.

Liverpool have negotiated 10% sell-on clause in the deal.

Grujic became Reds manager Jurgen Klopp's first signing at the club when joining from Red Star Belgrade in January 2016 for £5.1m.

He made 16 appearances for Liverpool, while also spending spells on loan at Cardiff City, Hertha Berlin and Porto.