Cameroon international Geremi is to join Chelsea after a fee was agreed with Madrid.
Madrid wanted £7.5 million for the midfielder and a fee has been agreed by the two clubs.
Geremi was close to joining Chelsea last summer but talks were unresolved although the Premiership stayed interested in the attacking wide player who rarely starts for the Champions League winners.
Chelsea have also managed to secure midfielder Flavio Conceicao on loan for a season with an option to buy the ball-winger who joined Madrid from Deportivo two years ago.
Conceicao has yet to agree the loan move but Geremi has accepted the move to Chelsea after the English side's long-standing interest in him.
Geremi is likely to start for Cameroon on Saturday when they face Ireland in their first World Cup match.
Chelsea have also made an offer for young Portuguese star Hugo Viana.
The Sporting Lisbon player has been in talks with Celta Vigo to move to Spain in an £8 million transfer but Chelsea are prepared to top that offer after the midfielder's brilliant form in the recent European Under-21 finals for the Portuguese.
Viana is now with the senior Portugal squad at the World Cup finals after replacing Kenedy who failed a squad dope test last week.
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