Real Madrid are competing with Manchester City for Malaga winger Isco.

City chiefs are confident they have a deal for the youngster, but Real are also in contact with Malaga about a fee.

"There are clubs interested, but this is not new. City has not made a concrete offer. There are many expressions of interest, a lot of calls, but nothing more. His preference is Malaga, because his family is here and it is the hometown team," said his agent, Rafael Comino.