Manchester City have reportedly opened talks with Gremio over a possible deal for 17-year-old Diego Rosa.

The midfielder is yet to make his first-team breakthrough with Gremio, but his performances at youth level for both club and country are understood to have caught the eye.

Rosa was part of Brazil's Under-17 World Cup-winning squad last year and at club level has been playing for Gremio's Under-20 team.

The Daily Mail reports that the former Premier League champions hope to strike a deal worth an initial £4.5m, which could rise to £13.5m with bonuses and add-ons, while any agreement would also likely include a sell-on percentage for Gremio.

Rosa does not turn 18 until October, meaning that if City were to agree terms this summer then he would be unable to officially join the club until January.

The interest in Rosa comes as part of a worldwide scouting network focused on identifying the most talented young players, with Roa's Brazil Under-17 teammate Yan Couto having already joined and reported interest in 18-year-old Facundo Pellistri and 19-year-old Issa Kabore.