Manchester City may not sign Nicolas Otamendi after all.

According to Sky Sports' Spanish football expert Guillem Balague, the deal to bring Otamendi to the Etihad Stadium from Valencia has hit a snag because City do not want to lose Eliaquim Mangala.

It had been understood that a transfer fee of £28.4million plus a loan deal for Mangala had been agreed between City and Los Che to land Argentine international Otamendi.

However, it is now suggested that Manuel Pellegrini is eager to keep French centre-half Mangala at City following an impressive beginning to the new season.

The Sky Blues have now reportedly been told by Valencia that they must improve their offer if they want to successfully lure 27-year-old Otamendi from the Mestalla.