Hertha Berlin have clinched a deal with Watford for Dodi Lukebakio.
BILD says the midfielder is in Berlin today for a Hertha medical. He has agreed terms over a five-year contract.
Hertha chief Michael Preetz has managed talk down Watford's price from €25m to €20m, though the difference can be made up in bonuses.
The previous transfer record for Hertha was Davie Selke at €8m.
Lukebakio spent last season on-loan in Germany with Fortuna Dusseldorf, where he scored ten goals and produced four assists in 31 games.