United have until 11pm on Wednesday to get deals done and Fred is in their sights.
But Manchester City want him too and the two fierce rivals are set to go to war in the transfer market again.
It comes days after United wrapped up a deal for Alexis Sanchez who was City's top transfer target this window.
City thought they had their man but United came in with a package that Pep Guardiola couldn't match to convince Sanchez to sign.
Shakhtar Donetsk’s Fred is valued at around £50million and City have the financial clout to do a deal.
Arsenal and Tottenham have also been interested in Fred, 24, who has played six times for the Brazil national team.
But it now seems to have come down to a straight fight between the two title-contesting Mancunian heavyweights.
If Fred does not move this week, the two clubs will resume their battle for him in the summer.
The Daily Star are reporting that Guardiola could even spent £100m before the deadline with Aymeric Laporte on their radar too.
City are in advanced talks for a club-record deal of £57m for the Athletic Bilbao centre-back.
The French defender, who is yet to be capped by his country, was left out of Bilbao’s match on Friday night in preparation for a switch which is expected to be completed within the next two days.
City want to back Guardiola in his Quadruple bid and could bring the summer transfer budget forward to get the Fred and Laporte deals done and over the line now.
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