Cruzeiro have confirmed that Real Madrid have made an offer for 21-year-old Brazilian Lucas Silva.

Speculation that the midfielder would move to the Bernabeu in January has gathered pace in recent days, with Los Blancos said to be the firm favourites for the youngster's signature.

However, according to reports in Brazil, the offer received by Cruzeiro, which was believed to be in the region of £10m, is short of their valuation.

Cruzeiro are reportedly holding out for closer to £12m for the in-demand midfielder.