Manchester City are in the market for a club in Uruguay.

The Daily Mail says City are thrashing out a deal to buy a club in Uruguay as part of their ever-expanding portfolio of foreign teams.

City Football Group - who also own New York City, Melbourne City and Yokohama Marinos - have identified South America as an area to target.

Club chiefs are also looking at ownership in China but prioritised an acquisition of a Uruguayan partner.

City believe the foray into South America would help their commercial operation, while the move is likely to help the signing of players from that region.