Bayer Leverkusen tried to sign him last winter. Now Sky Deutschland reports that interest remains.
The reigning German champions have initiated concrete talks regarding the signing of the 22-year-old.
McAtee has been followed by Bayer Leverkusen closely since January and is open to such a move, according to the report.
But at present, negotiations between Leverkusen and City have not advanced beyond an initial approach.
McAtee has a contract with City that runs until the summer of 2026.