Fulham have reportedly stood firm on their asking price for Bayern Munich target Joao Palhinha.
The Portuguese midfielder appeared to be on the verge of completing a move to Bayern last summer after the two clubs had reached an agreement over a deal worth around £60m.
Palhinha travelled to Munich to complete a medical ahead of his proposed deadline day move, but was ultimately forced to return to Craven Cottage after the transfer collapsed.
After the move fell through, Palhinha agreed to sign a new Fulham contract to extend his stay until June 2028, with an option for a further year.
Although he signed a new long-term deal, there appears to be some uncertainty as to whether he will remain a Fulham player for the 2024-25 campaign
Bayern fail to meet Palhinha asking price
Bayern are still pushing to sign the Portugal international as they look to strengthen their midfield ahead of Vincent Kompany's first season as a Bundesliga manager.
However, according to The Telegraph, Bayern are finding it difficult to reach an agreement with Fulham over a potential transfer.
The report claims that the German giants are willing to pay £40m which is significantly below Fulham's reported £60m asking price.
Talks are continuing to be held as they look to find a suitable resolution, with Palhinha keen to try a fresh challenge at the Allianz Arena.
Bayern will consider alternative options if they are unable to strike a deal, and Everton's Amadou Onana has been mentioned as one of the players on their radar.
Why are Fulham refusing to budge on their valuation?
Fulham boss Marco Silva will be reluctant to sell the Portugal international, who has established himself as a key part of the squad following his arrival from Sporting Lisbon in 2022.
Palhinha has featured in 79 competitive matches for the Cottagers, chipping in with eight goals and one assist.
The defensive midfielder would leave a significant void if he was sold which is why Fulham will hold out for a considerable fee so they can sign a suitable replacement.
Palhinha is currently representing his country at Euro 2024, although he has had to settle for just one substitute appearance in Portugal's first two matches.
Any final decision over his future is likely to be delayed until Portugal have completed their involvement in the tournament.
