Man City preparing £24m bid for Alexis Sanchez
The Spanish giants are open to offers for Sanchez, but are asking for at least £20m to facilitate his departure.
Arsenal, Liverpool and Manchester United have all held preliminary talks with Barcelona over a deal for the 25-year-old.
But, as of yet, no fee has been agreed with Barcelona.
And according to reports in Spain, City are preparing to launch a £24m bid in an attempt to beat their Premier League rivals to Sanchez.
Having been fined £49m last month for breaching Financial Fair Play regulations, City's activity during the summer is likely to be significantly reduced.
City will only be able to spend a maximum of £49m on new additions, unless they can raise funds through player sales.
Despite these restrictions, Pellegrini is ready to splash out around half of his budget to add Sanchez to his attacking ranks.
Sanchez, currently representing Chile at the World Cup, is understood to prefer a switch to England rather than a return to Italy.
Serie A champions Juventus had been in pole position to sign the former Udinese star, but their interest has cooled as they are unwilling to pay over £18m.
But any move from City could be scuppered by Barcelona's attempts to sign controversial Liverpool forward Luis Suarez.
Starsport exclusively revealed at the weekend that Barcelona are set to offer £56m plus Sanchez in attempt to prise the Uruguay superstar away from Anfied.
If Liverpool decide to accept the offer, City's hopes of landing Sanchez will be all but over.
Written by Steve Milne