Wolves have verbally agreed to a $60 million deal with Manchester City for Matheus Nunes.

City have been searching for midfield reinforcements since Kevin De Bruyne signed was ruled out for up to six months with a hamstring injury sustained on the opening day of the season in the win at Burnley.

Wolves manager Gary O'Neil said he "fully expects" midfielder Matheus Nunes to remain with their club despite interest from Manchester City.

Nunes has stopped training with Wolves as he continues to seek a transfer to City.

City delivered an opening offer of $59 million, which was turned down by Wolves.

Nunes moved to Wolves from Sporting Lisbon in August last year for a club-record fee of around €45m ($48.9m) on a five-year contract with an option of a further 12 months.

Matheus Nunes has essentially gone on strike in an effort to force a move from Wolves to Manchester City.

Wolves rejected City’s opening bid of around £47 million for Nunes out of hand and are holding out for more than £60 million.

Nunes signed with Wolves in a club-record deal worth £42 million from Sporting last summer.

Wolves have signed Matheus Cunha from Atletico Madrid on loan with an obligation to buy for €50 million. 

The former Sion, RB Leipzig and Hertha Berlin player moved to Atlético in the summer of 2021 and scored seven goals last season but has struggled for playing time this term.

Wolves have fired Bruno Lage as manager as they face a potential relegation struggle this season.

Wolves are in 18th place with six points from eight matches.

Lage, 46, took over at Molineux from Portuguese compatriot Nuno Espirito Santo before the start of last season, guiding Wolves to 10th in the standings.

Nottingham Forest have agreed a club-record deal to sign Morgan Gibbs-White from Wolves. The winger will cost £35 million ($42 million) plus add-ons.

The 22-year-old impressed in the Championship last season on loan at Sheffield United.

The arrival of Gibbs-White means Forest are not pursuing a deal for Brighton’s Neal Maupay despite making an offer for the striker last week.

Tottenham are in talks with Wolves over a potential deal for Adama Traore and look set to complete a deal for Pape Sarr from Metz.

Among the options for Spurs could be an attempt to sign Traoré on loan with an option to make his move permanent for around £40 million.

Sarr, meanwhile, is expected to be loaned back to Metz as part of the £14 million deal, although talks are continuing with the 18-year-old over personal terms.

Francisco Trincao has joined Wolverhampton on a season-long loan with an option to buy.

The 21-year-old registered 2 goals and 3 assists in 41 appearances for Barcelona.

"We've watched him a lot, especially over the last couple of months, so he's been on our radar for quite a while," said Wolves technical director Scott Sellars.

Trincao is the first signing under new manager Bruno Lage.

Trincao is the third prospect to leave Barcelona this summer, following Jean-Clair Todibo and Konrad De La Fuente. 

Nuno Espirito Santo will leave Wolverhampton at the end of the season.

Nuno's name will now be in the frame for the managerial vacancy at Tottenham Hotspur who sacked manager Jose Mourinho in April.

"Nuno has brought us some incredibly special moments at Wolves that will never be forgotten, but every chapter comes to an end," executive chairman Jeff Shi said in a statement.

"His loyalty and dedication over the last four years has been immeasurable, and we cannot thank him enough for the progress he has made for Wolves."

Nuno was previously manager of Valencia and Porto.

Wolverhampton Wanderers signed striker Willian Jose from Real Sociedad on a loan through the end of this season.

The 29-year-old comes with an option to buy at the end of this season.

Jose has scored 62 goals in 170 appearances for La Real.