Manchester United has announced the completion of their first summer transfer business, confirming that full-back Alvaro Fernandez has permanently transferred to Benfica. The move follows Benfica’s decision to exercise their option to buy after Fernandez’s successful loan spell with the Portuguese club.

During his six-month stint in Lisbon, the 21-year-old made 16 appearances for Benfica under the management of Roger Schmidt, contributing to their second-place finish in Liga Portugal, trailing behind rivals Sporting CP. Reports from the Manchester Evening News prior to the weekend hinted at Benfica’s interest in signing Fernandez, and the deal has now been finalized, as confirmed by United in a statement released on Sunday night.

Expressing their best wishes for Fernandez’s future endeavors, the club stated, “Everyone at United would like to wish Alvaro all the best of luck in the future and will be keeping an eye on his progress.”

In exchange for Fernandez, Benfica has paid approximately £5 million upfront, with an additional £2.5 million potentially payable in add-ons. Despite never making a senior appearance for Manchester United, Fernandez made 62 appearances for the club’s academy teams. He previously had loan spells with Granada in La Liga and was named Preston North End’s Young Player of the Season during the 2022/23 campaign.

United negotiated favorable terms in the deal, including a buy-back clause and a sell-on fee, providing them with safeguards should Fernandez be transferred to another club in the future. Similar protections have been put in place for other recent departures, such as Hannibal Mejbri’s loan to Sevilla.