Manchester City and Juventus have agreed a €9m (£7.6m) deal for Carlos Tevez that could be worth up to £27m to the former Premier League champions when saved wages and bonuses are included.

Tevez has still to agree personal terms and talks will take place between the player’s representatives and Juventus on Wednesday, with negotiations possibly taking longer than 24 hours. The 29-year-old earns a base rate of £198,000 a week on a contract that has 12 months remaining and faces having to accept a pay cut if he is to sign for Juventus.

Ferran Soriano, the City chief executive, and the director of football, Txiki Begiristain, met the Juventus hierarchy in London on Tuesday to finalise a deal that has been worked on for some time and has been approved by the new manager, Manuel Pellegrini, whose first official day in charge was Monday.

Although the base fee is €9m for Tevez, this should rise to a minimum of €12m as a clause in the contract awards City an extra €1m a year for three years should Juventus qualify for the Champions League in each of those seasons. A further clause awards City €1m for every season Juventus win either the Champions League or Serie A over the course of Tevez’s contract, meaning the total transfer fee could end as high as €15m.

City will recoup a further total of £17m in saved wages and bonuses, meaning that, if Tevez does agree to the move, they will make a saving of about £27m which they can reinvest in the squad.

Although Tevez is expected to fly to Italy on Wednesday to undergo a medical, the transfer has not yet been confirmed and, given his chequered career at City, there may yet be a hitch.

Whereas Yaya Touré was offered – and signed – a new contract as early as April to indicate his status at the club, City made no similar move to extend Tevez’s stay, allowing him to end the season with his future uncertain.

Tevez is still regarded as a fine footballer at City – when on form he remains arguably their best and most effective striker – yet, given the series of disputes he has had since joining the club from Manchester United in July 2009, his status has fallen.

On three occasions Tevez appeared certain to leave, having handed in two transfer requests – in December 2010 and July 2011 – before he fell out spectacularly with Roberto Mancini the following September during a Champions League group game at Bayern Munich.

However, last season Tevez had appeared more settled in Manchester, having spoken of a new-found stability both at City and in his domestic life. Yet, with the Argentinian having cost at least £25m when he moved from United, City, also mindful of the demands of Uefa’s financial fair play rules, were keen to recoup a chunk of their outlay.

Their strategy to wait until the close season to see if any offer would be made worked out well when Juventus began negotiations. If this had not occurred, City might have had to adopt the differing approach of offering the former Corinthians and West Ham player a one- or two-year extension so that his value did not decrease as it would have done if he was allowed to enter the final 12 months of his contract. City would then have been able to listen to any offers knowing the buying club would have to make a credible bid.

According to Guardian