Manchester City are close to settling terms with Atletico Madrid for Martin Demichelis.

Atletico have been demanding €5.5 million for the Argentine defender after throwing out a bid of €3.5 million from City last week.

TMW says City have moved to reach a compromise by raising their offer to €5 million this week.

City boss Manuel Pellegrini, who worked with Demichelis at Malaga, has been personally driving negotiations from their end of the table.

 For the big stories and the banter follow us on Twitter: @tribalfootball