Newcastle’s third offer for Marc Guehi, worth £60m, has been turned down by Crystal Palace.
The Magpies’ latest bid is understood to be £55m up front plus £5m add-ons.
Talks continue between the two clubs, but Newcastle are looking at alternatives should the deal not happen.
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Crystal Palace chairman Steve Parish insists Newcastle must pay ‘superstar money’ if they want to lure Guehi away from Selhurst Park
The England international remains Eddie Howe’s No 1 centre-back target.
Newcastle made their £60m bid over the weekend but Palace value Guehi at £65m.
On Tuesday, Palace chairman Steve Parish told Newcastle to pay a premium price to sign the 24-year-old, claiming “if you want a superstar player, you need to pay superstar money”.
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Parish believes the ex-Chelsea defender is a “generational talent” who the club will fight to retain this summer ahead of the deadline closing on August 30.
Newcastle, however, are undeterred by Parish’s comments.
Guehi: I can put attention to one side
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Marc Guehi discusses how he is happy to be back playing football at Crystal Palace and is eager to get the season underway despite a busy summer
Guehi insists he is ignoring speculation over his future, amid interest from Newcastle, and is only focused on Palace’s opening Premier League game at Brentford on Sunday, live on Sky Sports.
Asked whether he can put the attention to one side ahead of Palace’s game on Sunday, Guehi exclusively told Sky Sports News: “I can, I’ve been doing it my whole life really. I’ve never really been one to be looking too much into myself, if that makes sense.
“But I think it’s always important to focus on what truly is important, and that’s the game at the weekend, making sure that for the rest of the season as a team we’re at it.”
Guehi said of Parish’s “superstar” comments: “Humbled, humbled by that. For someone that is such a big part of this football club, for him to say something like that is amazing, for someone like me.
“I’m not sure I’m a superstar, but some really kind words from the chairman, so it’s really nice to hear that.”
A key factor in talks between Palace and Newcastle is Guehi’s remaining contract length.
He is 18 months away from discussing pre-contracts with teams abroad and two years away from leaving on a free.
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Take a look at Guehi’s best bits from last season in the Premier League for Palace
But Guehi, who starred for England in their run to the Euro 2024 final, insists he is happy at Selhurst Park as speculation continues to mount around his long-term future.
Asked whether he is happy and enjoying life, he responded: “I am. Honestly, it’s good to be back here, it’s good to be back playing again amongst team-mates.
“A nice little run-out in front of the fans again [started last Sunday’s 1-1 pre-season home draw against Nantes], so yeah, all positive at the moment.”
He added: “I think there’s a real culture of togetherness here, and that is from everyone, from the academy, the women’s [team] and the men’s [team] as well. Everyone’s really on the same page, a real family.
“Very cliche to say, but honestly it’s just an amazing place to be at.”