Portuguese defender could be set for move to the Etihad Stadium.
Manchester City are ready to make an approach to Real Madrid for their Portuguese centre back Pepe according to The Express.
The defender has been a stalwart at the Spanish giants for some time but has found his place in the first team increasingly under threat over the last year following the emergence of French youngster Raphael Varane.
City are preparing a major overhaul of their squad and are set to announce the arrival of Manuel Pellegrini as their new manager.
Pellegrini will take over from Roberto Mancini, who parted ways with the club near the end of last season, and the Chilean manager is keen to put his own stamp on the team.
Kolo Toure has already agreed a deal to join Liverpool in the coming weeks and Joleon Lescott looks unlikely to have much of a future at the Etihad Stadium.
That is likely to prompt Pellegrini into the transfer market and the former Malaga boss has reportedly identified Pepe as the man to lead the club from the back.
That could set up the mouth-watering prospect of a head-to-head between Pepe and his former mentor Jose Mourinho.
The pair know each other from their time together in the Spanish capital, where Mourinho’s reign was dogged by rumours of dressing room unrest.