Chelsea are on the verge of completing their first signing under new manager Liam Rosenior, with the Blues set to beat Premier League rivals Manchester United to the signature of teenage sensation Yisa Alao. The 17-year-old Sheffield Wednesday defender has reportedly opted for Stamford Bridge despite heavy interest from Old Trafford, with a structured deal worth potentially over £1 million now close to being finalised between the two clubs.Chelsea appear to have struck the first blow in the transfer market under the leadership of Rosenior, securing a significant victory over United for one of the EFL's brightest prospects. Reports indicate that the London club are now "confident" of getting the deal done after emerging as the clear frontrunners for Alao’s signature.While negotiations have been ongoing with Sheffield Wednesday, Chelsea’s project seems to have swayed the decision. The deal is structured with a sensible initial outlay but includes significant upside for the selling club. It is understood that Chelsea will pay an upfront fee of around £500,000 for the teenager. However, the total package is expected to surpass the £1 million mark once various performance-related add-ons are triggered.For Rosenior, who has emphasised a "clean slate" and the importance of youth since arriving at Cobham, securing a talent of Alao’s profile signals the club's continued commitment to stockpiling elite young talent. While this is undoubtedly a club-led recruitment drive fitting the BlueCo model, beating United to a domestic talent is the perfect way to kickstart the new regime’s transfer business.Alao’s rise has been one of the few bright spots in a dismal campaign for Sheffield Wednesday. The Owls are currently languishing at the bottom of the Championship table with a total of -7 points, but the 17-year-old left-back has shown maturity beyond his years when called upon. A product of the Wednesday academy, Alao made his senior debut at just 16 years of age against Bolton Wanderers in the Carabao Cup back in August, immediately catching the eye of top-tier scouts.Since that debut, he has been integrated further into the first-team picture, racking up five appearances across all competitions this term. His most notable performance came earlier this month in the FA Cup, where he played 60 minutes against Premier League opposition in Brentford. Despite the defeat, Alao held his own, showcasing the physical and technical attributes that have convinced Chelsea to make their move.With Wednesday facing the drop to League One, the sale represents a necessary piece of business, allowing them to cash in on a homegrown asset to potentially fund reinforcements for their relegation battle.The race for Alao was far from a one-horse affair. United had identified the left-back as a key target for their own academy recruitment drive and had held extensive negotiations with the Championship club. It is believed that the Red Devils submitted a formal bid of £450,000 before Christmas, but this offer was firmly rejected by the Owls hierarchy.United remained keen on the player, hoping to return to the table, but Chelsea’s decisive action and slightly higher initial offer appear to have won the day. The news will come as a blow to United, who are aggressively trying to recruit the best domestic talent under their new sporting structure. To add to the competition, Liverpool were also credited with an interest in the defender, monitoring his progress closely, though it appears the Anfield club did not formalise their interest in time to prevent Chelsea’s swoop.Add GOAL.com as a preferred source on Google to see more of our reportingWhile Alao has already tasted senior football in the Championship and FA Cup, his immediate future at Chelsea will likely lie within the club's renowned academy setup. The Blues have a well-defined "youth-focused transfer strategy," and it is expected that Alao will initially join the development squad rather than Rosenior’s first team.However, the pathway at Chelsea is clear for elite talent. The club views Alao as a modern full-back capable of developing into a Premier League standard player. He will likely be given time to adapt to the club’s style of play at Cobham before potentially heading out on loan to continue his senior development. For now, he arrives as the first fresh face of the Rosenior era, a symbol of the club's long-term planning even as the new manager looks to fix immediate issues on the pitch.