Cancelo, 31, returned to Barcelona for his second loan spell in January and has since made 12 appearances, scoring one goal and providing three assists across all competitions.
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It’s understood that the Portugal international is keen on making the move to Hanis Flick’s side permanent, but the club have set a condition.
According to Marca, Barcelona have told Cancelo that he will have to negotiate his way out of his contract with Al Hilal.
Due to the club’s ongoing financial issues, Barcelona are reluctant to pay a transfer fee for Cancelo, and this would bypass that.