LONDON (REUTERS) - Watford have signed English striker Andre Gray from Premier League rivals Burnley on a five-year contract for a club-record fee, the teams announced on Wednesday.

The financial terms of the deal were not disclosed, but British media reported that Watford paid £18.5 million pounds (S$32.7 million) for the 26-year-old.

Gray scored 10 goals in 36 games for Burnley in all competitions last season, including their first top-flight hat-trick since 1975 in a 4-1 win over Sunderland last December.

"The Clarets gave Gray the chance to extend his stay at Turf Moor with the offer of a substantially improved new contract earlier this summer," Burnley said on their website. (www.burnleyfootballclub.com)

"However, the former England C international made it clear he would not be looking to renew a deal which had just 12 months still to run.

"Burnley therefore took the decision to accept an offer from Watford and move forward with their own plans going into the new Premier League season."

On Tuesday, Watford also confirmed they had sealed the transfer of Brazilian Under-20 forward Richarlison on a five-year deal for a reported £11 million.

The 20-year-old joined from Brazilian club Fluminese for whom he scored 19 times in 67 games.

"The Hornets have beaten off strong competition to secure the services of the highly-rated 20-year-old, following a successful work permit application," Watford said on their website.

It has been a busy summer for Watford who have also signed English midfielders Tom Cleverley and Will Hughes from Everton and Derby County respectively, and defender Nathaniel Chalobah from Chelsea.

Marco Silva's side kick off their campaign at home against Liverpool on Saturday.