Although the signing of another centre-back means more competition for first team places, Carra was pleased to see Coates added to the squad this week as it's a great addition to the Reds.
"I haven't seen a lot of him - little bits of highlights from the Copa America," he said. "For Uruguay to win it was a great achievement with the other nations who were in it, and I think he got Young Player of the Tournament. That shows he's got great quality and I think it's going to be a great addition to the squad," he said.
"You can't think of yourself, you have to think of the club. One centre-back went so we needed another. Time will tell how good the lad is but his pedigree looks fantastic.
"Also, it doesn't look too big a price when you look at some of the prices for defenders now."