Newcastle made a £40 million offer for playmaker James Maddison, but Leicester City rejected it.
Brendan Rodgers, the manager of the Foxes, is yet to make a substantial acquisition during the current transfer window. He also needs to raise funds so that Leicester can meet Financial Fair Play requirements.
Maddison signed a contract extension with Leicester in 2020, and his current deal has two years left on it.
Last season, the midfielder made 35 appearances in the Premier League and netted 12 goals.
The former Coventry midfielder, who cost £20 million to transfer from Norwich City to Leicester in 2018, is not believed to be in favor of a move to St James’ Park.
In the first summer transfer window since the club was taken over by Saudi Arabia in October, the Magpies added three players: defenders Sven Botman and Matt Targett, as well as goalkeeper Nick Pope.