Man Untied are currently prioritising a move for Sesko, 22, but face stiff competition from Premier League rivals Newcastle.
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According to The Sun, Watkins, 29, could become an option for Ruben Amorim’s side with the striker said to be keen on the move.
Villa are reluctant to sell the striker but could be forced to due to their ongoing PSR issues and could be willing to accept an offer between £40 million and £50m.
The report adds that Watkins “feels the time is right to leave Villa Park” after five years and 87 goals scored for the club.