Italian has been in the north west since 2009.
Manchester City are set to sack manager Roberto Mancini and replace him with highly-rated Malaga head coach Manuel Pellegrini, says the Daily Mirror.
The hugely popular Italian has been at Eastlands for four years now having previously spent time in Serie A coaching the likes of Fiorentina, Lazio and Inter Milan.
And, during his spell in England the 48-year-old has won both the FA Cup and the Premier League title as well, however, this campaign has seen the club’s fierce city rivals Manchester United regain their top-flight crown from Mancini’s men.
Meanwhile, despite splashing out millions on the team, City have also fared badly in the Uefa Champions League, all of which has led the club to approach Pellegrini.
The Chilean has been in charge of the likes of Villarreal, Real Madrid and Malaga during his nine years spent managing in La Liga and with a contract with the latter that runs until 2015, it is expected that the 59-year-old will be announced as the new City boss at the end of this season.