It seemed as if China or Japan were the likely destinations for the legendary Spanish midfielder. However, the aforementioned media source has suggested that Iniesta could be set for a move closer to home.
Keen to take advantage of his departure from Barcelona, current City manager Pep Guardiola wants to reunite with the 34-year-old with a tempting offer next season.
With Mikel Arteta's confirmation as Arsenal manager appearing to near ever-closer, Guardiola believes Iniesta would be his perfect replacement in Manchester.
To make the prospect more attractive, the former Barca manager would offer the midfielder some playing time for City next season.
Although Iniesta has always maintained that he would never play for another team in Europe, 'Yahoo Sports' suggest that the player-coach split could prove too difficult to resist.
The rumour is certainly set to put the cat amongst the pigeons, ahead of Barcelona's final league match against Real Sociedad on Sunday evening.
Once out of the way, fans and colleagues will finally be able to find out where Iniesta will be next year.