French newspaper l'Equipe has revealed on Sunday that the Portuguese tactician, who is out of work since last October after his shock exit from Stamford Bridge, signed a pre-contract agreement with Milan.

It also claimed that Ivorian striker Didier Drogba will follow Mourinho after being in a rift with Chelsea's bosses.

The Rossoneri officials are supposedly preparing a £25m for the 29-year-old marksman. They have been linked with Drogba since last summer but the Blues weren't ready to sell their best man.

The Milan bosses are also monitoring troubled Ronaldinho and Gianluca Zambrotta who wants to return to Italy.

AC Milan President Silvio Berluscioni has announced that he wants to get rid of the veterans and pump in some fresh blood in order to restore the team's domination on the local scene.