Barca and Real fighing over Costa

Two of Spain’s biggest clubs are reportedly tracking young Brazilian Douglas Costa, currently playing for Gremio.

According to Sport, the attacking midfielder was being watched by scouts during his exploits at the recent South American Under-20 Championships, and Barcelona and Real Madrid were among the more interested parties.

The 18-year-old, who impressed in Venezuela for Brazil, has been compared to Ronaldinho because of his style of play.

Costa does have a buy-out clause of 28 million euros, but his agent revealed that no offers have been made for the player yet.

Cesra Bottega, his agent, said: "We have not spoken to any team. We only know that a range of talent scouts have been watching him, but for the time being there is nothing official."

Costa has a natural left foot and has a deadly free kick to boot.

He has yet to appear frequently for the Selecao and either club could be taking a big gamble if they are willing to shell out his buy-out clause in June.