Leroy Sane will leave Manchester City this summer if a deal can be agreed with another club after he rejected a new contract, says manager Pep Guardiola.

City have given up hope of negotiating a new contract with Sane after nearly two years of talks with the Germany international.

Bayern Munich have made Sane their No 1 target this summer and have already held talks with City, who are demanding £62m for the winger they signed from Schalke in 2016 for £37m.

Guardiola is resigned to losing Sane, who has turned down multiple renewal offers, but has not ruled out the 24-year-old staying at the club until his contract expires.