“It is not true [that it is a done deal],” the agent is quoted as saying by Bild.
“There is no decision and everything is still open. Ilkay is focusing further on his recovery.”
Gundogan’s current contract with Dortmund expires in June but he is rumoured to have refused to sign a new deal.
City are reported to be leading the race to signing he 24-year-old midfielder. Citizens sporting director Txiki Begiristain has already met with Gundogan’s uncle and agent Ilhan Gundogan regarding a summer deal.
Liverpool boss Jurgen Klopp is however, also interested in signing his former pupil who he helped develop during his time at Dortmund.
Klopp is credited with first unearthing Gundogan’s talent at Dortmund but will need to make an offer in excess of £20 million to prize away Borussia Dortmund star Ilkay Gundogan according to Football Insider.
Italian giants Juventus are also reported to be in the race to sign the Germany international of Turkish origin.