City have turned down Barcelona’s opening bid of £38.5m for midfielder Rodri, with the club valuing the Spaniard at more than £60m.
The 30-year-old is entering the final year of his contract at the Etihad Stadium and has yet to commit to a new deal with the club.
Barcelona received approval from Rodri himself to begin negotiations with City before submitting their opening offer on Friday, BBC Sport sources confirmed.
Barca sources had initially suggested there were no guarantees a deal would be struck, but the situation has developed rapidly in recent days.
The club confirmed on Friday they are in ongoing conversations with the player’s representatives, with the bid arriving shortly after those talks began.
Real Madrid had previously appeared the frontrunners to sign the midfielder, but BBC sources now confirm that talks between the player and the Spanish capital club have come to an end.
According to Cadena Ser, Real Madrid made Rodri an “irresistible” offer shortly after Spain’s World Cup triumph, with negotiations beginning just days after the tournament concluded.
The Spanish radio network reports that everyone at the club, from president Florentino Perez to chief executive Jose Angel Sanchez, worked hard to make the deal happen.
However, Rodri has made the personal decision to accept another offer, with Real Madrid informed of his choice on Friday before choosing to end the process and avoid prolonging uncertainty.
Rodri missed much of the 2024-25 season with a serious knee injury, and parts of last season were also disrupted by a hamstring problem that limited his availability.
The 2024 Ballon d’Or winner returned to his very best at the World Cup this summer, leading Spain to their second title and being named player of the tournament.
He is currently sidelined after undergoing back surgery last month and is expected to rejoin his City team-mates in Manchester early next week.
With the transfer window approaching its second week of August, City will be eager to resolve Rodri’s future quickly so they can identify and sign a suitable replacement.
Talks are ongoing over a move for 18-year-old Morocco midfielder Ayyoub Bouaddi from Lille, though the French club’s £86m asking price remains a significant sticking point.
