Arsenal & Liverpool Face Transfer Setback as German Side Declare Interest for In-Demand Defender

Bundesliga side Borussia Mönchengladbach will rival a host of Premier League suitors in the race to sign in-demand Porto star Diogo Leite, according to reports.

Both Arsenal and Liverpool were supposedly leading the race for his signature this summer, while reigning champions Manchester City also hold an interest in the 19-year-old defender as they look to bolster their youth system.

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But reports from German outlet Kicker suggest that Borussia Mönchengladbach could be in pole position to land Leite ahead of the new season as the Foals look to replace Jannik Vestergaard - the Dane joined Southampton earlier this summer.

Leite is a regular part of Porto's Under-23 side and is also a Portugal international at Under-21 level. However, the teenager is yet to feature for the Dragões senior squad, and he could leave before the new season kicks off if his reported €15m release clause is met.

The Bundesliga is quickly becoming the hotbed for young players to develop their game before making a step up into one of European football's biggest clubs. 

Last year Jadon Sancho upped sticks from Manchester City and he has gone on to be an instant hit with fans at Borussia Dortmund, while Dayot Upamecano, Panagiotis Retsos and Mickaël Cuisance have also been successful since moving to Germany - the latter who has been impressing in Mönchengladbach.

Although Arsenal, Liverpool and City could flex their financial muscles to land Leite this summer, a switch to Germany could be best for the 19-year-old to get regular first team football as soon as possible and break into the senior national team.