Rio de Janeiro, Feb 7 (IANS): Brazilian football champions Corinthians have beaten off interest from local rivals Sao Paulo to sign Paraguay defender Fabian Balbuena, according to local media reports.

Balbuena will undergo a medical with the Brazilian outfit on Monday after his club Libertad reportedly agreed to a $1.5 million transfer, reports Xinhua.

"If there are no issues with the physical tests, he will sign a three-year contract," Brazilian portal Gazeta Esportiva said on Saturday, citing sources close to Corinthians.

Balbuena has been identified as a replacement for central defender Gil, who left the Sao Paulo club to join China's Shandong Luneng on January 18.

The 24-year-old made his international debut in Paraguay's 1-0 friendly loss to Mexico in Kansas City last March.

Corinthians have lost five players since clinching the Brazilian Serie title for a sixth time in December. Those to have left are Ralf, Jadson, Renato Augusto and Gil -- all to Chinese Super League clubs -- and Alexandre Pato to Chelsea.