The 20-year-old has been attracting interest from several Premier League clubs recently.
The attacking midfielder is one of the most highly-rated players in Europe currently. The Star reports that the Bundesliga side want around £40m for the 20-year-old, who made his international debut for world champions Germany last November.
And while City's Premier League rivals Arsenal and Liverpool are also interested in potentially bringing him to England (via Star), it appears that Guardiola is determined to be the one to bag his signature.
The Bayern Munich boss takes over from Manuel Pellegrini at the end of the season. And while it is hardly a surprise that he would consider moving for players that he has seen play regularly in Germany, it is perhaps a surprise that it is a Schalke player right at the top of his reported shortlist, rather than some of the players that have helped maintain Bayern's dominance during his time at the Allianz Arena.
It is arguably also a surprise that Guardiola feels that City need the youngster in their ranks. The likes of Kevin De Bruyne and Raheem Sterling have done exceptionally since joining the club, and the money required to bring Sane to the Etihad may be better spent improving other areas of the squad.