The forward has become one of the hottest young talents in world football over the last 12 months, as he netted 20 goals in his debut season in Benfica’s first team.
The versatile teenager can play in a range of positions in attack, and has been deployed on both wings, behind the striker, and as a sole front man.
So with the competition hotting up for his signature – how can City get one up on their rivals to tempt Felix to the Etihad?
According to the Mirror, Pep Guardiola is willing to sign him, and immediately loan him back to Benfica for the whole of next season.
With Felix thought to be demanding a fee of around £105m, it would be a bold move to sign him and immediately ship him out again.
However, the Spaniard is not thought to be desperate for reinforcements up front, having seen Sergio Aguero and Gabriel Jesus capably lead City to a domestic treble this term.
England winger Raheem Sterling also regularly contributed to the club’s goal tally, and has the ability to play as a solo striker.
Atletico initially came up with the strategy, and thought it had given them the edge over the Manchester pair.
However, with the English sides reportedly willing to offer Felix a £105,000-a-week contract, his eyes have been drawn to the Premier League.
City think Felix would be the perfect replacement for Aguero, 31.
And Sky Blues experts feel he could to go on to become a Ballon d’Or contender in the future.
Elsewhere, Leroy Sane looks to be staying at the Etihad this summer.
Bayern Munich were understood to be keen on the German, who saw his playing time heavily reduced in the back end of the season.
However, the Bundesliga champions are now expected to wait 12 months for Sane to run down another year on his contract, which has two left to run, so they can pick him up at a reduced price next season.