The Spanish star has agreed terms on a three-year deal after passing a medical on Thursday and will slot into attacking midfield void left by Gylfi Sigurdsson
Swansea City have completed the £2 million (€1.55m) signing of Michu from Rayo Vallecano, Goal.com understands.
The Spanish midfielder passed a medical at the club on Thursday and agreed terms on a three-year deal.
Sources have said that the 26-year-old has put pen to paper and that Swansea are just waiting for the paperwork to come through.
Michu is the third new signing of Michael Laudrup's reign, following the arrival of midfielder Jonathan de Guzman on loan from Villarreal and the £2m capture of centre-back Chico from Genoa.
His arrival is seen as something of a coup at Swansea, after Michu notched 15 goals in La Liga last season, and 17 in all competitions, becoming the highest scoring midfielder in the league.
Swansea have taken advantage of Rayo’s parlous financial position to capture a player who was valued at close to the £5m mark by the Spanish club.
Michu is viewed by Laudrup as a player who can fill the attacking midfield void left by Gylfi Sigurdsson rather than as a possible replacement for Joe Allen, who is being targeted by Liverpool.
The former Celta Vigo player has returned to his native Spain but is due to meet up with Swansea's squad on Sunday before they fly out to America on their pre-season tour.