British media reported that having seen a £50 million ($64.4 million, 54.3 million euros) offer for Sanchez rebuffed, City had returned with a second bid of £55 million plus add-ons.
Liverpool and Tottenham Hotspur completed moves for Alex Oxlade-Chamberlain and Serge Aurier respectively as record Premier League spending soared above £1.2 billion.
Paris Saint-Germain’s sensational 222 million euros ($264 million) capture of Neymar from Barcelona earlier this month has sent transfer fees skyrocketing across the continent.
In addition to Brazilian icon Neymar, PSG are also poised to wrap up a deal for 18-year-old Monaco wonderkid Kylian Mbappe.
The French teenager is expected to join on a season-long loan before signing for 180 million euros next year in a move designed to prevent PSG falling foul of UEFA’s Financial Fair Play regulations.
Barcelona have already spent 105 million euros, rising to 145 million euros, to prise France starlet Ousmane Dembele from Borussia Dortmund.
But Liverpool continue to resist Barca’s attempts to lure Neymar’s Brazil team-mate Philippe Coutinho to Camp Nou, having rejected three offers for the playmaker.
Liverpool and Arsenal, who may need to replace both Oxlade-Chamberlain and Sanchez, have been linked with Monaco winger Thomas Lemar.
However, with deadline day clashing with a round of World Cup qualifying matches, Lemar spent Thursday preparing for France’s game against the Netherlands at Stade de France.
Liverpool are reported to have spent £35 million on Oxlade-Chamberlain, who is believed to have signed a five-year contract.
The 24-year-old England midfielder is thought to have rejected a new contract offer from Arsenal and an approach from Chelsea, both of whom were prepared to pay him more money.
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