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Newcastle will put ANOTHER offer in for £35m-rated Watford star Joao Pedro after initial bid was rejected - but Hornets would prefer to sell winger Ismaila Sarr amid Crystal Palace interest

Newcastle are returning with an improved offer for Watford forward Joao Pedro after a £20million bid was rejected.

Sources say the second proposal is still expected to be way short of the Hornets' £35m valuation, but there is confidence a compromise can be agreed.

Pedro, 20, played during Watford's 1-1 draw at Birmingham in the Championship on Tuesday night and boss Rob Edwards said afterwards that he does not want to lose the Brazilian.

'Joao Pedro is already a very good player,' said Edwards.