Spanish side Real Madrid are confident of signing Manchester City full-back Joao Cancelo, who is currently on loan at Bayern Munich, according to a report on Fichajes.

Cancelo joined Bayern Munich on loan in January until the end of the season with the German side having the option to sign Cancelo permanently for €70million.

However, Bayern Munich are unwilling to take up that option and Real Madrid have now swiftly moved into the race for the Portuguese international.

Real Madrid believe Ferland Mendy and Dani Carvajal are well past the level needed to play for Real Madrid and the Spanish club believe Cancelo is an upgrade on what they currently have.

Real Madrid are firmly interested in Cancelo and will submit a bid around €60 million to secure the 28-year-old’s services.