While personal terms are reportedly not an issue, Cancelo has yet to finalize his agreement to the move.
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If he proceeds, the 30-year-old will likely sign a three-year contract, bringing an end to his five-year tenure at Etihad Stadium.
Earlier this month, City manager Pep Guardiola mentioned that Cancelo could still play for the club again.
However, the disagreement that led to Cancelo’s loan spells at Bayern Munich and Barcelona over the past 18 months was always a significant obstacle.
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Cancelo has not featured in City’s two Premier League games this season and also missed the Community Shield win against Manchester United, where several players were absent due to their participation in the European Championship in Germany.
Initially, Cancelo was Guardiola’s first choice as an inverted full-back but lost his place just months after signing a new contract in 2022.
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