Despite their vast levels of wealth, City are yet to add to their squad this month, but with a five point gap to Premier League leaders Manchester United, manager Roberto Mancini may dip into the market ahead of Thursday’s deadline.
He is believed to have set his sights on the Belgian wide man, as he looks to add some creativity and pace to his attacking armoury.
The Citizens are said to be willing to part with around £7m to force through a deal and will be reluctant to go much higher.
Chadli is thought of as one of the top talents in Dutch football, previously attracting the interest of English sides such as Newcastle, Fulham and Everton.
Twente swiftly knocked back any potential moves, but may be unable to keep their star man with the lure of regular Champions League football at one of the biggest clubs in Europe likely to tempt the 23-year-old.
To make room for Chadli City would likely allow out-of-favour winger Scott Sinclair to leave on loan.
The former Chelsea man has struggled to force his way into the first-team since his summer arrival and is thought to be attracting interest from Sunderland and Swansea.
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