Bayern and Inter on red alert as Cancelo eyes Man City exit

German giants Bayern were linked with a loan move for the Portugal international right-back during last month's January transfer window.

It's understood Inter are also keen on the defender who only arrived at City seven months ago from Juventus, in a £60 million deal which sent Danilo in the opposite direction to the Serie A champions.

Cancelo was valued at £27 million as part of that agreement, which is why the Citizens have placed such a high resale figure on his head.

The Manchester giants are continuing to hold transfer talks with Coritiba's 17-year-old right-back Yan Couto, dubbed the next Dani Alves in his homeland and also wanted at Barcelona.