Premier League champions Chelsea were in the market for a new goalkeeper after selling back-up Asmir Begovic to Bournemouth in May.

Caballero, who joined City in 2014 following stints at Malaga and Elche in Spain and with Boca Juniors in his homeland, said on www.chelseafc.com: "I am very happy to join Chelsea, the champions of England.

"I am looking forward to meeting the guys and helping the club achieve more success in the coming season."

The South American veteran will provide competition to first-choice Thibaut Courtois at Stamford Bridge, with 34-year-old Portugal international Eduardo also an option for coach Antonio Conte.

Chelsea technical director Michael Emenalo said: "We are very happy to have Willy on board. He knows the Premier League and is tried and tested at the top of the game.

'We have three experienced goalkeepers and we look forward to welcoming him to the club when the squad returns to pre-season training."

Caballero's signing follows on from Exeter's announcement on Saturday morning that Chelsea had won the race for their highly-rated teenager Ethan Ampadu.

Exeter said the 16-year-old, who trained with the senior Wales squad ahead of Euro 2016, had signed a deal with the Blues after deciding to leave St James Park.

The Sky Bet League Two club will not receive a transfer fee as Ampadu had yet to sign scholarship forms but the Grecians are entitled to compensation for their academy product.

Exeter said in a statement they hope a fee can be agreed with Chelsea for the Wales Under-19 defender without the need to go to a tribunal.

Ampadu became Exeter's youngest debutant - beating Cliff Bastin's long-standing record - after being given his bow in last season's League Cup match against Brentford aged 15 years, 10 months and 26 days, and he went on to make 13 appearances for the first team.

Exeter manager Paul Tisdale said on his club's website: ''Everyone at Exeter City fully supports Ethan's decision to sign for Chelsea.

''He had many options available to him and has decided that Chelsea provides him with the best opportunity to develop the next step of his career. We wish him the very best of luck.''