Manchester City’s powerbrokers were locked in top level transfer talks on Saturday morning as the Premier League leaders edge closer to a deal for Fred, the £40 million rated Shakhtar Donetsk midfielder.

Khaldoon al-Mubarak, the City chairman, chief executive Ferran Soriano and director of football, Txiki Begiristain, held a meeting as they ironed out the latest plans to bolster Pep Guardiola’s squad.

City have identified Fred as their primary defensive midfield target and are keen to wrap up a deal soon with a view to the Brazilian finishing the season with Shakhtar before formally joining the club in the summer.

It is understood officials from Shakhtar were in Manchester earlier this week as City stepped negotiations for the 24-year-old, who is expected to provide quality competition for his compatriot Fernandinho, who signed a new three-year contract on Friday.

Fellow midfielder Yaya Toure is expected to depart when his contract expires at the end of the season.