Manchester City are set to sign Atletico Madrid's Rodrigo Hernandez after activating the midfielder's release clause with a club-record fee of 70 million euros on Wednesday.

Atletico confirmed that City have paid the $79 million fee which automatically terminates Rodrigo's contract with the Spanish club.

"La Liga informed Atletico Madrid on Wednesday that representatives of Rodrigo Hernandez and Manchester City have deposited the amount of the release clause in the name of the player," Atletico said in a statement.

"In this way, the player has unilaterally terminated the employment contract that bound him to our club until June 30, 2023."

Rodrigo's departure will secure a considerable profit for Atletico, who spent around 20 million euros last summer to re-sign the Spaniard from Villarreal.

His exit had been expected, with the club already bolstering their options in central midfield with the addition of the 24-year-old Marcos Llorente from Real Madrid.

But another key player leaving means more upheaval for Diego Simeone and his team. Club captain Diego Godin has already joined Inter Milan while Lucas Hernandez has been sold to Bayern Munich.

Antoine Griezmann and Juanfran have also bid farewell, with Griezmann expected to join Barcelona after his own release clause dropped to 120 million euros on Monday.

Manchester City's previous club record was the £60 million they paid Leicester for Riyad Mahrez in 2018.