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Tel - who is currently in Slovakia representing France at the European Under-21 Championship - moved to north London on loan from Bayern in February, with Spurs paying a €10m loan fee.
The signing was announced on Saturday after he passed a medical, and he will link up with his new club following the conclusion of England's campaign at the European Under 21 Championship.
Mail Sport reported this week the Reds have struck an agreement for Wirtz that could rise to £116m including bonuses, such as winning the Premier League and Champions League.
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