Palhinha closes in on Benfica return as Bayern confirm advanced talks

João Palhinha is moving closer to a return to Benfica, with Bayern Munich confirming that negotiations are at an advanced stage even though several details of the proposed transfer still need to be resolved.

Reports in Portugal and Germany indicate that the clubs have discussed a deal worth around €14 million to €15 million in guaranteed payments, with a further package of bonuses potentially taking the overall value close to €20 million. Palhinha is also understood to be open to the move.

The situation, however, has not yet reached the point of a completed transfer. Bayern sporting director Max Eberl confirmed that significant progress has been made in talks but stopped short of declaring an agreement final, stressing that outstanding issues remain between the parties.

That distinction is important after reports suggested a verbal agreement had already been reached. Neither Bayern nor Benfica have formally announced the midfielder’s departure, and the remaining contractual and administrative details must still be completed before the deal can move to an official stage.

For Palhinha, a transfer would bring him back to the club where his senior career began. The Portugal international developed through Benfica’s academy before leaving in search of regular first-team football, eventually establishing himself at Sporting CP and then Fulham before joining Bayern.

His spell in Munich has not developed as originally expected. Competition for places restricted his influence, and he spent last season on loan at Tottenham as Bayern continued to reshape their midfield options.

A return to Lisbon would therefore offer Palhinha the opportunity to re-establish himself in familiar surroundings while giving Benfica an experienced defensive midfielder with extensive Premier League, Bundesliga and international experience.

Benfica have so far maintained a cautious public position. Marco Silva declined to discuss Palhinha in detail after the club’s latest European fixture, making clear that he would not comment extensively on a player who had not yet officially joined his squad.

The remaining negotiations will determine whether the reported verbal agreement can be converted into a completed transfer. Bayern appear willing to facilitate Palhinha’s departure, while the player is understood to favour the move, but the deal remains short of official confirmation.

For now, the direction of travel is clear: Palhinha is edging closer to Benfica, but the final steps still separate advanced talks from a completed return.