Newcastle United have completed the signing of Everton forward Anthony Gordon in a deal that could eventually be worth £45m.

The 21-year-old, who has been at Everton since he was 11, was a target for Chelsea in the summer.

The initial fee is understood to be £40m, rising to £45m with add-ons.

"Since I heard of the interest, I was always convinced Newcastle were for me. People haven't seen what I'm capable of yet," Gordon told NUFC TV.

"I think the fan base and the city really suits me as a person, the way the team are playing under the gaffer really suits me, and the club just look like they're heading in the right direction.

"I feel like it's a really big step. I think under the gaffer, and the way the club's going, I can really excel here."

An Everton statement said Gordon had joined Eddie Howe's side - who are third in the Premier League - for an undisclosed fee after submitting a formal transfer request.

Head coach Howe said: "I'm delighted to sign Anthony - he's a top, top talent.

"I'm really excited to work with him, to develop him, and I'm looking forward to seeing what he can do in a Newcastle shirt."

A portion of the fee for the England Under-21 player is set to be given to Frank Lampard's successor as Everton manager, which is expected to be ex-Burnley boss Sean Dyche.

Gordon was at Everton's Finch Farm training headquarters on Friday after being absent for three days, but the deal was completed well before Tuesday's transfer deadline.

Everton reportedly demanded £60m from Chelsea for Gordon in the summer but the Merseyside club decided to sell for a lower fee.

The academy product scored seven goals in 78 games since making his debut in 2017.

He has not started a game since the home defeat by Wolverhampton Wanderers on Boxing Day and his last goal came on 22 October in a 3-0 win over Crystal Palace - Everton's last win in all competitions.

Gordon could make his debut for the Magpies when they take on West Ham United at St James' Park on 4 February.