Wolves forward set for new loan

The winger, who Wolves signed from Valencia in the summer of 2022 for £27.5million, spent the second half of last season on loan at Benfica before rejoining the Portuguese side on a season-long loan this campaign.

Wolves did not have a recall clause in the loan agreement, meaning Guedes needed Benfica to agree to terminate his loan, in order for him to make another move.

After struggling for game time this season and making just 14 appearances in all competitions, Benfica have now agreed to cut the loan short and Villarreal have agreed terms with Wolves on a loan deal until the end of the season.

The move is expected to be completed once a medical is done and it will not include a buy option in the loan deal.

Villarreal will also pay Guedes' full wages for the rest of the season.

The move will allow Guedes to join up with his former Valencia head coach Marcelino, who took over at Villarreal for a second time in November.

Guedes signed a five year deal at Wolves when he joined in 2022, meaning when he returns to the club in the summer his deal will still last until 2027.

His arrival came at a time when Wolves were more reliant on agent Jorge Mendes and before sporting director Matt Hobbs stepped into his new role.

Wolves' recruitment strategy since then has focused on players that want to come to the club and are not incentivised by other means. They have also, for the most part, stepped away from large transfer fees.

As it result, it is unlikely Guedes will come back to Wolves in the summer and feature for the club in any meaningful capacity.

Wolves will hope the forward can find his form back in Spain this season and attract interest from clubs who will be willing to buy him permanently, as the club aim to recoup as much of the £27.5million spent on him as possible.