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Liverpool midfielder Marko Grujic has signed a new contract and completed a season-long loan move to Hertha Berlin.

The 22-year-old Serbian has agreed an extension with the Reds which will keep him at Anfield until 2023.

Grujic travelled to Berlin on Sunday after the Bundesliga outfit won the race for his signature.

Grujic had also attracted interest from Crystal Palace, Cardiff City, Middlesbrough, Torino, CSKA Moscow and Lyon this summer.

Jurgen Klopp was instrumental in the decision that Hertha was the best place for the combative midfielder to continue his development.

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The Reds boss views Grujic as first-team material for Liverpool next season and wanted to ensure he went somewhere that would enable him to mount a serious challenge for a starting role when he returns.

For both Liverpool and Grujic, it was about securing a commitment to play centre midfield. That was why Palace was never regarded as a serious option as Roy Hodgson viewed him as back up rather than a regular starter.

(Image: Andrew Powell/Liverpool FC via Getty Images)

The Reds rejected an offer from Torino last week after the Serie A outfit wanted a season-long loan with the option to buy him for 10million Euros next summer (£9million).

Grujic, who cost £5.1million from Red Star Belgrade in 2016, helped Cardiff City earn promotion to the Premier League in the second half of last season and had been expected to return there earlier this month.

However, rather than pen an extension and link up with the Bluesbirds, he opted to stay put and consider other options.

Now he's excited about the prospect of a spell in Germany with Pál Dárdai's Hertha squad who finished 10th in the Bundesliga last term.