According to the BBC, Pep Guardiola was keen on adding the Northern Ireland international to his squad at the Etihad. The talks were ongoing between the two clubs over a possibility of signing Evans. City made a bid of around £18m ($20.6m), which was their second for the central defender.
West Brom have turned down both the bids for the player, including the latest £18m bid. Evans is not only a target for the former Barcelona and Bayern Munich manager but Leicester City are also believed to be keen on signing the defender, who has two years left on his deal at The Hawthorns.
Tony Pulis' side have also rejected the £10m ($12.9m) bid made by the Foxes. West Brom have insisted the 29-year-old is not available for sale, despite interest from Leicester and City in signing the player.
Evans came up through the ranks of United's youth system before making his way into the first team in 2006. He spent his initial years away from the club on loan and on his return, was a regular figure in the Red Devils' back four.
He won three league titles, two league cups and one Fifa Club World Cup under Sir Alex Ferguson's guidance. During Louis van Gaal's reign at Old Trafford, the Dutchman allowed Evans to join West Brom in 2015.
West Brom lost their captain Darren Fletcher, another former United player, to Stoke City this summer. Pulis announced that Evans will be the new Baggies captain earlier in July and this was done with a view to fend off any interest from other clubs.
"Jonny Evans is staying with West Bromwich Albion. There is no doubt about that. Jonny will be our captain next season. He had a fantastic year last season and I'm hoping he steps up now," Pulis told West Brom's official website.
"He's not had the responsibility before, to being a captain around the club. It's an important job and it's about looking after the players and looking after the dressing room and if we get issues in the dressing room I will be expecting him to sort it out."
West Brom's decision to not sanction Evans' sale will come as a blow for Guardiola who is looking to strengthen his side's defence. He has Vincent Kompany, Nicolas Otamendi, John Stones and Eliaquim Mangala as the recognised central defenders in the squad.