VILLARREAL, Oct 18 (Sw) - Villarreal have signed Chilean starlet Matias Fernandez from Colo Colo, with the player moving to Spain on 1 January.

The 20-year-old winger is touted as one of the brightest talents in South America. He is a full Chile international. Villarreal announced the news to Spanish media

Fernandez attracted the interest of Villarreal when the club started to look for replacements for heavily injured Robert Pires. Despite dispensation from the Spanish FA, the Yellow Submarine decided to wait with signing until the opening of the next transfer window.

The news is a defeat for Chelsea, also reported to be seriously interested in Fernandez.