Atlético Madrid are in talks with Villarreal over a transfer for Alexander Sørloth after a deal for Girona striker Artem Dovbyk fell through, sources have told ESPN.
Atlético are understood to have had a deal in place for Dovbyk to replace Álvaro Morata last week, but negotiations broke down after his agent raised his financial demands at the last minute.
Dovbyk's agent has said that they were not convinced by Diego Simeone's offer. It has been reported that the Girona striker will move to Roma.
"Atletico are a great club, but we didn't see a serious project for Artem. Their offer in financial terms is significantly lower than those of other clubs interested in the La Liga top scorer," Dovbyk's agent Oleksiy Lundovskyi told UkrFootball.
It has been reported that Atlético changed the conditions at the last minute, however club sources have denied this to ESPN.
Atlético have turned their attention to Sørloth who has been on their radar since the beginning of the summer.
Atlético hope a deal can be reached despite the fact that they know they also have competition for his signature from other clubs.
A source has told ESPN that Sørloth is tempted by the idea of leaving Villarreal for a move to the Premier League or to play under Simeone.
Sørloth, who scored 26 goals last season, has a termination clause of €38 million ($40m), but Atlético are hoping to lower that amount slightly.
Elsewhere, sources have told ESPN that Atlético are making progress in talks with Chelsea for Conor Gallagher.
Simeone wants a midfielder and while Mikel Merino is also being considered, ESPN has previously reported that Gallagher is more likely due to financial reasons.
In addition, Atlético also consider Gallagher's profile to be very interesting if he can adapt quickly.
However, Chelsea want at least €40m for Gallagher and other clubs such as Aston Villa and Tottenham Hotspur are also interested.
Atlético are also interested in Manchester City striker Julián Álvarez, who wants to play more regularly.
Álvarez has said that he would make a decision on his future after the Paris 2024 Olympic Games.
When asked about Álvarez, City manager Pep Guardiola said: "When he thinks about it, his agent will call Txiki Beguiristain and we'll see what happens. I know he wants to play more important games but so does the rest of the team."
However, Atlético don't want to get their hopes up because they know that there are several teams including Paris Saint-Germain who are also monitoring Argentina forward's situation.
Sources have told ESPN that it will be a job of patience and calm, and that a solution is not expected until mid-August at the earliest.