The 20-year-old forward has moved to Hillsborough until the end of the season.
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Heskey is the son of former Liverpool and England striker Emile Heskey.
The versatile youngster found the net in the FA Youth Cup final in May 2024 as City beat Leeds.
City manager Pep Guardiola handed Heskey a senior debut earlier this season in the Carabao Cup against Huddersfield and the midfielder now continues his journey at Hillsborough.