Manchester United have reportedly been priced out of a move for Nikola Milenkovic after being told by Fiorentina that it will cost £40m to sign the centre-back.

Milenkovic, along with Serbia international teammate Sergej Milinkovic-Savic, was watched up close by United boss Jose Mourinho earlier this month.

Mourinho has been impressed by the scouting reports on the 21-year-old and, according to The Sun, he was keen to push ahead with a deal in time for the January transfer window.

Fiorentina are said to be holding out for a £40m bid, however, which is £10m more than the Red Devils are willing to offer for the defender, who can also fill in down the right.

United are unlikely to persuade the Serie A club to lower their asking price, as Italian champions Juventus are also keen.