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São Paulo and Manchester City continue to move forward to agreeing a deal for Nahuel Ferraresi.

The defender’s spell with the Brazilian club is about to expire, but there are new talks for an extension.

As reported by Globo Esporte, São Paulo and Manchester City have just found a deal to clear a missed payment between the two sides. The Tricolor owed the Premier League side €150k for the initial loan.

The agreement is now set to help the Brazilian side in a new move. The talks are for an extension of the loan, this time with an option to buy.

São Paulo’s hope is to include the €150k in that clause and postpone the payment. In case Manchester City don’t accept it, then the South American club shall pay that amount now.

Ferraresi has already shown his desire to stay at the Tricolor. He knows he won’t be used by Pep Guardiola’s side, and prefers to stay in a place where he’s already adapted to.

The player is currently recovering from knee surgery, and it would be tough for Manchester City to find him a new club in the summer window, which plays into São Paulo’s hands.