It is also understood that it is Arsenal who broached the idea of including Raheem Sterling in the deal, though City have no desire to sell the England worldwide and are determined to complete a cash-only transfer.
Sanchez has entered the final 12 months of his contract and looks to remain at the top of Pep Guardiola's transfer list with only a few days remaining of the summer window.
Raheem Sterling's involvement in the transfer, though, could see City pull the deal off.
"Manchester City will make an offer for Alexis Sanchez this week is what we're being told".
According to the Mirror, there has been a sensational development in the transfer saga surrounding Alexis Sanchez.
Wenger has said he would be prepared to let Sanchez run down his contract and leave for free next summer, but pressure is growing on him after his side lost two of their three opening games of the season.
Sterling, 22, has scored in his last two Premier League games - including netting the dramatic victor against Bournemouth last Saturday.
Aguero's future at City has been the subject of much speculation in recent times due to the recent arrival of Gabriel Jesus and Arsenal's reported proposal will force Guardiola to consider how much he values the Argentina worldwide.
What with it being worldwide week and all, we suggest you can take it all with a pinch of salt - but still, we can't help but feel that Raheem Sterling isn't exactly the kind of steel-nerved battleaxe that Arsenal need right now.
Arsene Wenger has so far remained adamant of Sanchez not being on sale, especially to a league rival.