Inter Milan have completed a deal to sign Uruguayan full-back Alvaro Pereira, according to a statement on Porto's official website.
The 26-year-old has been consistently linked with Chelsea in recent seasons, but has now made a lucrative move to Serie A.
Inter will pay an initial fee of around £8m, which will rise depending on appearances and trophies at the San Siro this season.
Pereira becomes manager Andrea Stramaccioni's seventh signing of a busy summer, alongside players such as Antonio Cassano, Walter Gargano, Rodrigo Palacio and Samir Handanovic.
Inter play their opening league match of the season away to Pescara on Sunday.
