Bayern Munich chairman Karl-Heinz Rummenigge does not believe AC Milan can offer the €48 million they want for Renato Sanches, although he does feel it would be in the midfielder's best interests to leave the Bundesliga champions.
Sanches, 19, moved to Bayern from Benfica last summer for a fee of €35m, but he only featured 17 times in his first season in the Bundesliga.
The Portugal international's Bayern contract runs until 2021 and Rummenigge has suggested that a loan switch may be a wise move, particularly since he doubts whether Milan are able to match the club's asking price.
"He's not going to play enough minutes at Bayern, which is why we are willing to discuss a loan move or maybe even more," Rummenigge said. "I'm not the coach, but I think Renato needs continuity. I can confirm Milan's interest, but negotiations have not moved on since the contacts last week.
"If a club are interested in asking for a Bayern player, they need to know that there are substantial economic figures to bear in mind and I have the feeling that Milan are not willing to satisfy our demands. Let's say it wouldn't be bad if we received an offer of €48m for him."
Milan have not held back in the summer transfer window so far, spending over €200m on 10 new players, including Leonardo Bonucci, Andre Silva and Ricardo Rodriguez, while they also tied 18-year-old goalkeeper Gianluigi Donnarumma down to a new contract which makes him the highest-paid keeper in Italy.
Milan are reportedly looking to end their spending spree with a new striker, with Nikola Kalinic and Andrea Belotti currently at the top of their list.