The Norwegian’s move was formally completed yesterday, with the former Dortmund man expressing his delight at moving to his ‘boyhood club’.
Pep Guardiola’s attention will now switch to signing a defensive midfielder following Fernandinho’s departure.
City had weighed up a move for Barcelona star Frenkie de Jong, who is expected to leave the club and is a target for Manchester United.
However, Goal report that City have decided against signing the Dutchman and they will instead target Phillips.
The England international endured a difficult campaign last time out with injury but he has impressed Guardiola with his passing, pressing and ability to conduct play from the base of midfield.
United had been keen on signing Phillips but he has ruled out a move to Old Trafford due to his connection with Leeds supporters.
Signing Phillips would have been far easier had Leeds suffered relegation but the club are still realistic about their chances of keeping the England ace, who could fetch a fee of around £60m.
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