Real Madrid have been referred to the buyout clause of Malaga youngster Izan Merino.

With Malaga in administration, Real Madrid made an attempt to sign 17 year-old Merino for €250,000.

But a local judge has thrown out the bid, reports Diairo Sur, and has insisted if Merino is to leave Malaga it will only be for his €3m buyout clause.

As such Real Madrid must significantly increase their initial proposal if they wish to sign the prospect.

The 17 year-old Merino would initially be signed for Real Madrid's Castilla team.