Manchester City reportedly rejected a transfer offer from Real Madrid to sign Joao Cancelo in January.
Cancelo was viewed as crucial figure in City’s end of season run in, before the Premier League giants opted to sanction a loan move to Bayern Munich, amid rumours of a disagreement with Pep Guardiola.
Guardiola denied the potential rift, claiming Cancelo wanted to move to Bavaria to push his case for first team football, and the Portuguese international could return to Manchester this summer.
However, Bayern do retain a €70m purchase clause over Cancelo, as per their agreement with City, and the Bavarians are openminded on retaining him.
As per reports from Mundo Deportivo, Los Blancos also registered their interest in Cancelo last month, but City rebuffed their initial efforts.
Real Madrid reportedly offered €30m as an up front fee, with €20m in variables, which City rejected on the basis of wanting €70m outright for Cancelo.
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