Alexis Sanchez was being tracked by a number of clubs in the summer of 2014 after Barcelona made the forward available for a move.
The Chilean eventually decided to join Arsenal, where he has established himself as a fan favourite.
The 27-year-old has been in fine form this term, and already has 14 goals for the Gunners.
I did not have the space in the squad for him
Former Man City boss Manuel Pellegrini
And Pellegrini has now revealed he was stopped from bringing Sanchez to Man City when he was in charge at the Etihad due to FFP.
“He was one of the best in the world and he showed it every day,” Pellegrini told Chilean radio station ADN.
“He was a major player we wanted to take to City.
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“We could not take him before he signed for Arsenal, it was because the club was punished for Financial Fair Play.
“I did not have the space in the squad for him.
“Alexis is a complete winner and hopefully he will remain a force for a number of years.”