Real Madrid reportedly turned down the chance to sign Joao Cancelo before he joined Bayern Munich on loan from Manchester City.
Manchester City confirmed that Cancelo had left the club for Bayern on deadline day, with the Portugal international joining on a loan deal until the end of the season.
The German champions also have the option to sign Cancelo on a permanent deal at the end of the season for a fee believed to be in the region of €70m (£61.5m).
However, according to Spanish outlet ABC, via the Manchester Evening News Real Madrid were offered the chance to sign Cancelo in the January transfer window, but they were not interested in a deal.
Real Madrid are currently light on full-back options with Dani Carvajal, Lucas Vazquez and Ferland Mendy sidelined with injury issues.
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The European champions have decided against signing players this month, and they have maintained their stance despite being presented with the chance to Cancelo.
The 28-year-old has been a key figure in Man City's squad in recent seasons, but he reportedly had a bust-up with Pep Guardiola over his lack of playing time.
Cancelo has only started three of Man City's 10 competitive games since the World Cup break, and the situation allegedly reached a breaking point when he was left out of the lineup for Friday's FA Cup victory over Arsenal.
During his unveiling as a Bayern player, Cancelo insisted that his move to Bayern had nothing to do with his relationship with Guardiola, instead, he wanted to secure more playing time.
The full-back could make his debut for the club when Bayern face Mainz 05 in the DFB-Pokal on Wednesday evening.
