The Premier League giants have decided to gamble on signing the 20-year-old striker rather than pursue a deal for Tottenham’s Harry Kane.
They have tabled a bid worth £51.4m but Atalanta are holding out for more money before agreeing to sell the Dane this summer.
Manchester United have been making progress in talks with the Serie A outfit and are hopeful of having the striker at the club before the new season starts next month.
But the Red Devils are certain about not forking out over-the-top money for Atalanta and have a certain budget.
Manchester United do not want to offer a total package of more than £60m for the striker this summer.
Hojlund has already agreed on personal terms on a contract with the Red Devils and has prioritised signing for the club in the ongoing transfer window.
PSG have also tabled a bid but the package offered is less than Manchester United’s and they are threatening to walk away if Atalanta do not accept their current offer.
The Serie A club are in a rush to sell the striker with coach Gian Piero Gasperini wanting Hojlund’s future sorted before the end of July.
