The Athletic reports that United manager Ruben Amorim has a strong relationship with the player from their time together in Portugal.
United have been on the lookout for an athletic midfielder all summer, with Baleba topping their list.
However, United decided to end their pursuit of the 21-year-old for now, as the transfer was not considered financially viable.
United began talks at the end of last week, but Brighton made clear they have no intention to sell the 21-year-old this summer.
It is understood that for a deal to have been struck between the two clubs, any fee would have had to have been in the region of Moises Caicedo’s £115mn move to Chelsea.
Morten Hjulmand and his Arsenal tattoo
Morten Hjulmand and his Arsenal tattoo
However, with United needing to sell to bring in more players, it is a fee they are unwilling to pay at present.
Sources say a possible transfer fee for the Danish midfielder Hjulmand is £50m. His statistics from last season are impressive: 6.44 ball recoveries, 5.59 successful duels, 8.39 passes into the final third, and 11.02 clearances per 90 minutes.
there’s one small detail fans might not like. On Hjulmand’s left shoulder is a tattoo of one of United’s fiercest rivals – Arsenal.
Hjulmand explained: “My dad was an Arsenal supporter, and we used to watch matches together when I was a kid.”
He also named Arsenal legend Patrick Vieira as his idol.
United supporters might forgive his childhood loyalty, but Sporting may not be so willing to let another key player go. This could complicate negotiations
United have several targets on their list to fill the midfield berth, with one being Adam Wharton, who has reportedly long been admired by the Red Devils, however no advances have as yet been made for the Crystal Palace midfielder.
There is no guarantee, however, that the No 6 role will be filled this summer as United have already spent £200m on Benjamin Sesko, Matheus Cunha and Bryan Mbeumo.
Napoli have entered the race to sign Manchester United striker Rasmus Hojlund after suffering a major injury blow on the eve of the new campaign.
Romelu Lukaku, the former Man Utd forward, is set for a lengthy spell on the sidelines after sustaining a thigh injury in Napoli’s final pre-season friendly against Olympiacos at the weekend.
Withdrawn in the 33rd minute after receiving treatment, while there is no timeframe for Lukaku’s return, it has been confirmed that surgery is a possibility.
A Napoli statement read: “Following the injury sustained in the match against Olympiacos, Romelu Lukaku underwent tests at Pineta Grande Hospital, which revealed a high-grade injury to the rectus femoris muscle in his left thigh.
“The Napoli player has already begun rehabilitation and will also undergo surgical consultation.”
This injury blow is set to force the reigning Serie A champions into the transfer market as they seek a replacement before the window closes in less than a fortnight.
According to the Guardian, Napoli are interested in loan move for Hojlund as Antonio Conte is an admirer of the Denmark international.
A bidding war could be on the cards as Napoli will face competition from rivals AC Milan for Hojlund’s signature amid comments from the club’s sporting director, Igli Tare.
He told Sport Mediaset: “We are evaluating him these days, but the transfer market is unpredictable.
“We know that we have to intervene in that position and we also know that they must be players who can give something more to this group.”
Hojlund, who netted just four goals in 32 Premier League appearances last season, has three years left - with the option of an additional year - on his Man United contract.
Although a summer exit cannot be ruled out for the 22-year-old having been left out of Ruben Amorim’s matchday squad for the opening game of the new Premier League season against Arsenal.
In addition, Hojlund appears to have slipped down the pecking order at Old Trafford following the arrivals of Matheus Cunha, Benjamin Sesko and Bryan Mbeumo this summer.
United are struggling to offload Jadon Sancho, with the winger having now rejected interest from Roma.
United had accepted a £17m bid from the Italian side for the English international but, according to Fabrizio Romano, Sancho is not interested and has instructed his agent to reject the proposal.
Time is running out for both United and Sancho, who has a year left on a contract reportedly worth at least £250,000 a week.
United are able to extend the contract by a further 12 months but are highly unlikely to do so as they look to offload Sancho at the earliest opportunity.
Sancho’s wages continue to be a stumbling block in negotiations as very few clubs can - or want to - match his demands, which means a summer exit will likely see him take a substantial pay cut.
Therefore, Sancho running down his contract at United remains a viable and lucrative option for the 25-year-old.
In light of their Sancho rejection, The Telegraph report that Roma have approached Aston Villa for the potential acquisition of Leon Bailey in a loan-to-buy deal.