Reading reached a deal on Monday to sign Sporting Lisbon defender Daniel Carrico, agreeing to a two-and-a-half year contract.
The 24-year-old Sporting captain will be out of contract in June and, according to the Primeira Liga outfit, will join Reading in January in a $1.32 million deal that includes a third-year option.
A statement on Reading's website, www.readingfc.co.uk, read: "Reading football club are delighted to confirm we have agreed a deal to sign Sporting Lisbon's club captain, midfielder Daniel Carrico. He is a versatile player and can play in the centre of defence as well as in midfield."
Carrico, a former Portugal Under-21 international, wrote a farewell letter on Sporting's website Monday.
"It is with mixed emotions that I write this farewell message," he said. "I'm leaving the club of my heart, where I had the privilege of graduating (through the youth ranks) and serving for several years. I'm leaving because I understand that I am at a stage in my career when I have to take chances. Moreover, the proposed project is extremely exciting to me and know I can succeed."
Reading said Carrico, who has only made two appearances for Sporting this season because of his contractual situation, will join up with his new teammates later this week.
The Royals are second-bottom of the Barclays Premier League and five points adrift of safety. They face Spurs at White Hart Lane Tuesday and host West Bromwich this weekend.
Information from Press Association was used in this report.