Just moments after reporting that Forest are close to an agreement for Omari Hutchinson, David Ornstein has reported the club have agreed a deal to sign McAtee, 22.
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His report states that Nuno Espirito Santo’s side have a total agreement with City, and the attacking midfielder will cost £30 million.
City have a sell-on and a buy-back clause in the deal, however, should McAtee flourish during his time at the City Ground.
McAtee is understood to have been pushing or a move away from City this summer with minutes likely to be limited.