Atletico Madrid are still waiting for an offer from Watford for Argentine winger Nicolas Gaitan, the Watford Observer understands.

The talented winger would entertain discussions with the Premier League side, we have been informed, but he has not yet had permission to discuss terms with anyone at Vicarage Road.

Gaitan is also courted by Everton, Newcastle, West Ham and Southampton, according to reports, and seems destined to leave Madrid by the end of the month.

He was a Watford target at the end of the summer transfer window but a deal could not be struck to bring him to England, although the Hornets are hopeful they will be more successful in bolstering their wide options during January.

Gaitan was one of Benfica's finest players during a six-year spell in Portugal, but since a €25 million move to Spain in 2016 he has failed to replicate that level of form.

An Argentina international, he has only started four times for Atletico in all competitions this season.