Manchester City have joined the race to sign reported Liverpool target Thiago Alcantara from Bayern Munich - according to reports.
The 29-year-old is set to leave the club this summer after informing the German champions he wants a new challenge after winning his seventh Bundesliga title this season.
Various reports suggest the Spaniard is eager to join Liverpool to work with Jurgen Klopp but German outlet Sport1 claim City's title rivals have reached an agreement with the midfielder.
However, a contrasting report from SportBild claim Liverpool are concerned that Manchester City have joined the race to sign the former Barcelona man.
Thiago worked with Pep Guardiola in Spain as well as in Germany and the report claims the Blues are willing to offer a significant improvement on Liverpool's offer.
The report adds Guardiola remains convinced that Thiago can be a huge success in the Premier League and views the Spain international as the ideal replacement for David Silva.
Elsewhere, City have been named as a potential suitor for Sporting Lisbon winger Joelson Fernandes.
A Bola report Fernandes is wanted by Arsenal, Chelsea and City with the Gunners seeing a €32million offer rejected for the forward.
The Portuguese outlet claims City have been in contact with the player's agent over a move to the Etihad Stadium.
Furthermore, more meetings with the player's representatives are expected to take place this week with City open to paying the player's €45m release clause.
Barcelona and Juventus are also believed to be keeping tabs on the 17-year-old.
