Manchester City and Manchester United target Leroy Sane urged to make decision on future after Euro 2016

Manchester City and Manchester United target Leroy Sane can leave Schalke this summer – but has been urged to make his decision as soon as possible if he does wish to leave Germany.

Sane, 20, remains intensely linked with a move to City with The Sun claiming in June Pep Guardiola's side had seen off interest from their Manchester neighbours and were poised to complete a £40m signing of the forward.

Any move was seemingly put on hold by the player's inclusion in Germany's Euro 2016 squad – despite not featuring during the world champions' route to the semi-final. But back at Schalke, the club are eager to resolve the player's future and avoid a similar situation which saw Julian Draxler leave the club on the final day of the 2015 summer transfer window for Wolfsburg, leaving Schalke with no time to find a replacement.

Schalke manager Christian Heidel told Sport Bild: "Leroy Sane must make a fundamental decision regarding his future after the European Championship. We have made it clear that we would be pleased if Sane remains at Schalke," he said.

The report adds City are now ready to spend €50m (£42m, $55m) to bring the Germany international to the Etihad Stadium.

United's interest in the Schalke star would appear to have faded with Henrikh Mkhitaryan poised to join the club from Borussia Dortmund. City meanwhile have already made two additions to their first team in Ilkay Gundogan and Nolito, with chief executive Ferran Soriano recently suggesting the club are looking to recruit two more new faces before the transfer window closes.

Soriano told BBC World: "You need to change three, four or five players in a season. We have two new players, one gone and maybe we're halfway.

"There will be some more. Two deals are close, the other deals are fairly advanced. Some players don't want to announce anything until they (the Euros) are finished."