The Argentine centre-back only joined Atleti this summer on a Bosman deal after his Malaga contract expired and he has yet to play for Los Colchoneros.
However, the player’s former coach at La Rosaleda, Manuel Pellegrini, has reportedly been pushing in recent days for new team City to make a move for the veteran, to improve the Premier League side’s defensive options.
Marca are now reporting this Wednesday that negotiations between the clubs are already settled and that the player has agreed to the switch out to England.
It is understood that City will pay out a fee of €5m (£4.3m) to take the former River Plate and Bayern Munich defender to Eastlands.
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