Reading manager Brian McDermott has confessed that he is losing the battle to keep Jimmy Kebe at the club.

The midfielder is out of contract at the end of the season and recently turned down the Royals' offer of fresh terms.

West Ham United have already had a bid for the Frenchman turned down, while Leicester City are also said to be monitoring the situation.

"We either have to do a contract here, or my gut feeling, is that if a contract is not signed at Reading, then something will happen somewhere else," McDermott told the Reading Post.

"There will be interest from other parties, I know that.

"We've had interest and we've had a bid. We turned it down, but that's all I will say."

Kebe, 27, joined Reading in 2008 from French club Lens.