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Bayern Munich chief Karl-Heinz Rummenigge “can confirm Milan interest in Renato Sanches, but there is no agreement yet.”
There had been reports over the last few days that the Rossoneri had made an approach for the Portugal international.
The offer was a two-year loan for €7m with option to buy in 2019 for another €40m.
“I can confirm that Milan have shown interest in Renato Sanches, but there is no agreement yet,” Rummenigge told German paper Bild.
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The midfielder turns 20 next month and arrived from Benfica for €35m last summer.
That cost could go up to €80m with various bonuses, including €20m if he’s in the top three for the Ballon d’Or.
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