Guedes returns to Benfica on loan

Wolves winger Goncalo Guedes has rejoined Benfica on a season-long loan deal - freeing up space on the club's wage bill to potentially aid other signings before the transfer window closes on Friday.

Portugal international Guedes, 26, arrived at Molineux from Valencia for £27m last summer. He scored two goals and provided one assist in 18 Wolves appearances before joining Benfica on loan in January.

However, his campaign was ended prematurely by a knee injury in March.

Gary O'Neil's side are facing the prospect of losing midfielder Matheus Nunes to Manchester City in the next few days, and the club's sporting director Matt Hobbs said: "After the tough period Goncalo had with the injury last year, it's important for him to go out and get as many minutes as possible, in an environment he knows well, at a club which knows him well.

"They've been a big part of his rehab, so it's a move which makes sense. We had to make sure he was going to play enough and with all the competitions Benfica are in, he's going to play a lot of games.

"Also, the fact we can use his wages to hopefully supplement other deals this last week [of the window] can only be a positive for us. It frees up money to be spent elsewhere and gives him an opportunity to play games."