Luka Modric is set to join AC Milan from Real Madrid after the Club World Cup, confirmed by Milan's newly appointed manager Massimiliano Allegri. The 39-year-old Croatian midfielder will bring his 13-year spell at Real Madrid to an end, joining the Rossoneri in August.

Allegri expressed his excitement about Modric's arrival during his first press conference since returning to Milan. "Modric will arrive in August. He is an extraordinary player," Allegri told reporters. He also highlighted the quality of other midfield options currently at Milan, including Ricci, Loftus-Cheek, Fofana, Bondo, and Musah. Allegri indicated a flexible tactical approach in midfield, aiming to maximize the strengths of both Modric and the existing squad as Milan prepares for the new season.

Modric's contract with Real Madrid was extended until July 13, 2025, to ensure his participation in the FIFA Club World Cup. Real Madrid faces Paris Saint-Germain in the semi-finals of the Club World Cup, with the final scheduled shortly after.

Modric, who turns 40 in September, has been linked with a move to Italy since early June, after announcing he would leave Real Madrid at the end of his contract. He joined Madrid from Tottenham in 2012. The 2018 Ballon d'Or winner will join a Milan side looking to bounce back from a disappointing campaign that saw them finish eighth and miss out on European competition.

Allegri, who has joined Milan for a second time after replacing the sacked Sergio Conceicao, has also outlined some key changes to the squad ahead of the new season. Netherlands midfielder Tijjani Reijnders was sold to Manchester City in June, while France left-back Theo Hernandez could be on his way to Saudi Pro League side Al Hilal. However, goalkeeper Mike Maignan and forward Rafael Leao seem willing to stay.

Milan will kick off their Serie A campaign on August 23 with a home fixture against Cremonese. Allegri, who previously guided Milan to a Serie A title in the 2010-11 season, last managed Juventus.

Modric had previously indicated his desire to sign a one-year extension with Real Madrid, to play past his 40th birthday and lead Croatia at the 2026 World Cup. Despite reports of offers from MLS and the Saudi Pro League, Modric's first choice was to remain in Europe and play in the UEFA Champions League.

Real Madrid has reportedly declined to offer Modric a contract extension despite his desire to continue in Spain. Modric's current deal ends on June 30, and the club was reluctant to offer an extension.

Modric is willing to continue his pattern of gradual wage reductions as part of an annual renewal, as he wants to remain at a high level to fulfill his goal of leading Croatia at the 2026 FIFA World Cup in North America.