Malaga owner Sheikh Al-Thani is making €100 million available for the summer market.
AS says Sheikh Al-Thani wants to be competing for European qualification next season.
Malaga have already made contact with Palermo to sound them out for a price over Javier Pastore. Talks are at an advanced stage for Manchester United legend Ruud van Nistelrooy, while Valencia winger Joaquin is also on the agenda.
Malaga are even competing with Barcelona and Liverpool for Osasuna fullback Nacho Monreal - and are confident of winning the battle.