Keegan had previously made no secret of his admiration for the 22 year old Croatian International.

He said:

"If you had a list of the midfield players around Europe who Newcastle could possibly attract, Luka Modric would be one of them.

I think he would be pretty much on everyone else's list as well because he is a fantastic prospect.

If you look at the midfield players who have a fantastic future, he would be one of them. But every other club in the league, from Arsenal and Manchester United, would like Modric."

It is said Newcastle had a bid turned down for approximately 18.5million in favour of Spurs 20million (including add-ons), though whether that be Euros or Pounds Sterling is unclear.

Dinamo Zagreb vice-president Zdravko Mamic had previously told The Sun that they intended to draw Newcastle United into a bidding war as they believed the price on offer to be too low.

He said:

"We have received an offer from Newcastle. But we are not satisfied with this offer and have told them so. They are quite shocked. I've told them to raise it a little. They should be afraid that we will start an auction. Spurs are begging us to show them an offer - as they will then bid more."

Keegan isn't quite so down beat about the situation. Prior to the news being announced that Spurs had signed the midfielder he said:

"We can offer more than most. After the top four, I would back us against anyone. In recent weeks the players have shown we don't need six or seven new faces. We have quality. Now we just need some top-notch players."

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