Former Atalanta striker Retegui is currently playing in Saudi Arabia with Al Qadisiya and has been linked with a return to Serie A this summer.
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Tuttosport says his agent, Alessandro Moggi, was seen dining with Tare in the Milan city centre.
Milan coach Max Allegri was a top class centre-forward signed this summer and Tare is exploring the prospect of landing Retegui.
The striker is valued in a €45-55m class by Al Qadisiya, while Milan have plans of offering him a five-year contract worth €5m-a-year plus bonuses. In contrast, Retegui is earning a massive €16m-a-year - net - with Al Qadisiya.