Manuel Pellegrini will take Malaga midfielder Isco, 21, with him to Manchester City if he gets the job vacated by Roberto Mancini.
But Pellegrini could face a battle to keep striker Sergio Aguero, 24, who has told team-mates he wants to leave Etihad Stadium.
Bayern Munich sporting director Matthias Sammer insist the Bundesliga champions have no interest in signing Manchester United striker Wayne Rooney, 27.
Chelsea are ready to fight Manchester City for Napoli striker Edinson Cavani, who has a £52m buyout clause in his contract with the Italian club.
Inter Milan sporting director Marco Branca has hinted that he wants to beat Tottenham to the signing of Spain forward Alvaro Negredo, 27, from Sevilla. Alvaro Negredo joined Sevilla from Almeria in 2009.
Liverpool want Spain Under-21 international striker Cristian Tello, 21, from Barcelona as part of any exchange deal involving keeper Pepe Reina, 30.
West Bromwich Albion are chasing Anderlecht striker Dieumerci Mbokani, 27, as a replacement for on-loan Chelsea frontman Romelu Lukaku next season.
Aston Villa are ready to make a £4m move to sign former Essex League striker Dwight Gayle, 22, from Peterborough, who are understood to want a bigger offer.
Fulham have agreed a deal to sign Ghana international midfielder Derek Boateng, 29, from Ukrainian club Dnipro Dnipropetrovsk.
Tottenham and Fulham are on standby to battle it out for Udinese-owned striker Matej Vydra, 21, if Watford fail to win promotion from the Championship.