The recent injury to Brazilian midfielder Fernandinho has seen the Cityzens suffer defeats in their last two Premiership games which makes their title defence on the slip away.
They are now seven points behind leaders Liverpool FC.
Pep Guardiola is keen on adding another midfielder to his set-up in January and has identified the Atletico Madrid star as a perfect man for his team.
Man City had been in the chase to sign Ajax Amsterdam wonderkid Frankie de Jong but it seems the Dutch youngster prefer a move to FC Barcelona ahead of Pep Guardiola's side.
There have been rumours recently linking Partey a move away from the Wanda Metropolitano.
Partey has featured 14 times for Atletico Madrid in the Spanish top division scoring two goals and assisting other two this term.
The 25-year-old has also played five games in the UEFA Champions League for the Madrid based club.