Aston Villa target Nico Williams could snub interest from the Villans and sign a new contract at Athletic Club, according to Daily Express journalist Ryan Taylor.

What's the latest news involving Aston Villa's pursuit of Nico Williams?

According to Cadena Cope via The Daily Mail, Aston Villa look set to miss out on the signing of Williams this summer as he has agreed to sign a new deal at Athletic Club.

Despite this, his release clause of £42 million is set to stay intact and it is likely that he will leave the La Liga outfit next year to seek a new challenge.

Aston Villa 'opened talks' last month over a potential deal for the £57k-a-week ace amid further interest in his services from Manchester City, Newcastle United and Arsenal, as per 90min.

Nevertheless, Athletic Club's intention was always clear to keep Williams in the Basque Country for the foreseeable future and it looks like Aston Villa may have to divert their attentions elsewhere.

Unai Emery has already dipped into the market to add some fresh blood this window in the form of Youri Tielemans, who joined from Leicester City on a free transfer earlier in July, as per ESPN.

Speaking to GIVEMESPORT, Daily Express journalist Taylor has also signalled that Williams will put pen to paper on a contract extension at Athletic Club.

Taylor stated: "You mentioned Williams. From what I understand, he could sign a new deal at Bilbao. He's not 100% set on the move.

"Same with Federico Chiesa. I think the show of ambition is ultimately a huge positive for Villa. They can sort of make a genuine play for these talents and there's money to be spent again. So yeah, it's exciting times for Villa."

How good is Nico Williams and why has he attracted interest from Aston Villa?

Williams is a very tricky operator in the final third and is one of European football's elite prospects and it is unsurprising that Aston Villa boss Emery has run the rule over him.

Last term, the Spain international was in fine form for Athletic Club, registering nine goals and six assists in 43 appearances encompassing all competitions, as per Transfermarkt.

Capable of providing a threat as a goal scorer or creator, Williams averaged 1.7 shots, 1.3 key passes and 2.3 dribbles per match in La Liga across 2022/23, illustrating that he has plenty of variation in his game, according to WhoScored.

FBRef record that Williams managed to fashion 105 shot-creating actions over the course in the Spanish top flight, making it all the more of a blow that Aston Villa now look unlikely to get their hands on the attacker this summer.

Despite this, it is clear that Aston Villa are in the hunt for a new winger and Bayer Leverkusen star Moussa Diaby has emerged as an alternative target; however, it may cost Emery a club record fee in the region of £50 million to entice the France international to the West Midlands, as per The Daily Mail.

Aston Villa look to be in the market for some ambitious signings and it wouldn't be a surprise to see plenty more high-calibre names linked to the club between now and the close of play.