Kaka, who had a public falling out with Jose Mourinho a few weeks ago, is believed to be eager to move away from the Bernabeu and restart his career at the club where he became the best player in the world. He hasn't featured for the Spanish Champions since he was sent off for Real Madrid in their loss to Osasuna.
The Brazilian international, who moved Milan to Madrid for £55 million pounds in 2009 has described his situation at the Bernabeu as "an unhappy one". Kaka has previously been linked with Chelsea and Man City and more recently Russian club Anzhi.
According to talksport, talks between Madrid and Milan broke down at the weekend as Ac Milan stepped up their pursuit of Manchester City forward Mario Balotelli but that deal now seems to be put on hold too which has seen Milan turn their attention back to former Ballon d'Or winner Kaka.
Speaking to Sky Sports, Real Madrid assistant manager Aitor Karanka has revealed talks are still ongoing and that a deal could still happen before the close of the transfer window saying; "We are still negotiating over the Kaka situation and we'll see how it ends, otherwise he will be an extra man for the squad,