Manchester United boss Sir Alex Ferguson is conceding defeat to Real Madrid in their battle for Lens defender Raphael Varane.
The Mirror says Ferguson has lost out to Jose Mourinho in the race to sign French teen sensation Varane.
Varane has agreed to join Real Madrid in a deal worth just under £10million and will sign a five-year deal at the Bernabeu.
The 18-year-old Lens centre-half feels he can develop more at Real than United, where the competition for defensive places is cutthroat.