The Argentina international is also on Manchester United''s radar, but City are hoping to beat their title rivals to his signature by simply out bidding them, The Mirror reports.

City officials are understood to have contacted their Benfica counterparts this week and made clear their desire to sign the 23-year-old attacking midfielder.

Gaitan is viewed as one of the most exciting and dynamic young players in the world, and impressed in Benfica''s Champions League encounters with United earlier this season.

City had him watched in a recent Portuguese League Cup game against Maritimo, and football administrator Brian Marwood is understood to have begun the process of trying to formalise a deal with Benfica.

United have been keeping tabs on Gaitan for the past year and had their scouts assess him last month, having also had him watched in games against Naval and Sporting Lisbon earlier this season.