Michael Olise set for Bayern Munich pay rise as Real Madrid assess their options

Bayern Munich have begun talks with Michael Olise over a new contract, in an attempt to secure the France international’s long-term future and prevent a potential move to Real Madrid.

The 24-year-old has emerged as a priority for the German champions after an impressive period since joining the club. According to Sky Sport Germany, initial exploratory discussions have already taken place between Bayern and the player’s representatives.

Olise’s current agreement runs until 2029 and does not contain a release clause. Real Madrid are monitoring the situation closely but expect the forward to eventually extend his stay at Bayern, the report said.

Sky added that a move to Real Madrid is the only development that could seriously disrupt Bayern’s plans to retain Olise over the long term. Unless the Spanish club make a concrete approach, however, the expectation is that the player will remain with the Bundesliga side.

A new contract could make Olise the highest-paid player in Bayern’s squad, taking him ahead of Jamal Musiala. If negotiations progress successfully, Bayern would not need to consider selling him next summer. A failure to reach an agreement would be the main circumstance that could force the club to reassess his future.

Olise joined Bayern from Crystal Palace in the summer of 2024 for 60m euros and has enjoyed a rapid rise since his arrival in Germany.

The former Crystal Palace player has also received public backing from Karl-Heinz Rummenigge, a member of Bayern’s supervisory board. Rummenigge expressed confidence that both Olise and Harry Kane intend to stay at the club for the long term in an interview with German website ran.

“Both intend to stay at Bayern for a long time,” he said.

Rummenigge also called for Kane to renew his contract soon and indicated that Olise could follow him.

“I hope, and I am very convinced, that Harry will renew his contract soon,” he added. “And that Michael will be next.”