Melbourne Heart has signed Mate Dugandzic on a multi-year deal after the exciting young striker walked out on cross-town rivals Melbourne Victory.

Dugandzic, 21, played in 28 of the Victory's 31 games this season, with the club bowing out to Gold Coast in the first week of the A-League playoffs.

With former Socceroos great John Aloisi retiring at the end of the 2010-11 campaign, the Heart have moved quickly to bolster their forward stocks.

Loading

The Heart missed the finals, finishing eighth in their debut A-League season.

AAP