Atletico Madrid are in advanced talks with Villarreal for striker Diego Forlan and have also asked about the availability of Juan Roman Riquelme.

Atletico have matched Valencia's £12 million bid for the Uruguay international and are offering a bigger contract to the forward - £2 million-a-year. Atletico have also offered to include defender Luis Perea in their bid.

Riquelme is also in Atletico's sights, though the Argentine's lack of a European passport could hinder the deal.