Manchester City and PSG are the front-runners to sign Pepe after the Real Madrid defender changed his mind over a summer move to China, reports Marca.
Pepe, 34, is inside the final three months of his contract at Real Madrid and had seemed set to head to China in the summer after failing to agree a new deal at the Bernabeu.
Hebei China Fortune had offered him a lucrative deal worth €12m a season after tax and he had reportedly told their coach Manuel Pellegrini that he would take up their offer.
The dealbreaker is believed to have been Pepe’s national team boss Fernando Santos, as the Portugal boss explained that the 34-year-old would be putting his participation at the 2018 World Cup at serious risk if he were to move to China.
According to Marca, both Pep Guardiola and Unai Emery have contacted Pepe’s agent Jorge Mendes.