Manchester City have opened talks over a £7million deal for 18-year-old Ante Palaversa, the highly rated Hajduk Split midfielder.
The Croatia Under-19 captain has been on City’s radar for some time as a potential long-term replacement for 33-year-old Fernandinho.
The Premier League club are expected to confirm the signing in the next few days.
Palaversa is set to remain with Hajduk until the summer and could potentially stay at his current club for one more season after that to continue his development.
Meanwhile, City winger Rabbi Matondo, who has rejected a new contract, is wanted by Borussia Monchengladbach.
The 18-year-old also has interest from Everton, Southampton and Red Bull Leipzig.