Real Madrid are looking to fend off interest from Manchester City by offering star duo Pepe and Sergio Ramos new and improved contracts, as reported by the Daily Mirror.
Citizens chief Manuel Pellegrini has been on the lookout for defensive reinforcements and was heavily linked with a move for Pepe throughout the transfer window.
Ramos is also thought to be interesting the Chilean tactician, with reports in France suggesting Manchester City are plotting a summer move for the Spanish international.
In an attempt to keep Pepe at the Bernabeu, Madrid president Florentino Perez is ready to hand the 30-year-old Portuguese hardman a bumper new contract that would keep him in the Spanish capital for the remainder of his career.
So while City's pursuit of Pepe seems destined to fail, the Etihad Stadium outfit will be keeping a close eye on Ramos' contract situation, with a new Madrid deal far from straight forward.
The 27-year-old defender wants any new contract to be on par with the club's top earners, following the multi-million pound deals handed to Cristiano Ronaldo and record-breaking winger, Gareth Bale.
Whether Real Madrid will be willing to accept Ramos' demands is unclear, with Manchester City ready to pounce should his Bernabeu future come into question.
Amid the transfer talk, attention will turn back to issues on the pitch this evening as Real Madrid take on FC København in their Champions League Group B clash.
Elsewhere, Manchester City will play host to reigning European champions Bayern Munich, as Pep Guardiola celebrates his 100th day in charge of the Bundesliga giants.