Deila, however, intends to keep Denayer at Celtic Park - and thinks a stay in Scotland would be better than returning to his parent club for the teenager.
"I hope to do that," the Celtic boss is quoted as saying by the Daily Mail. "He is in good development here. He hasn’t played a lot of matches at the top level and when you are in good flow you should keep doing it to go to the next stage.
"When he is ready for that he will go on but it’s also important for us to have consistency going into next season as well."
On transfer talks with Manchester City over John Guidetti, meanwhile, Deila said: "I have a good feeling. City are co-operating very well with us, I’ve done that with them for many years and this has been a happy relationship so far.
"We really want to do that in the future as well. I have contacts at City, so there is good communication with them."