Atletico Madrid president Enrique Cerezo has confirmed the club are interested in Porto's Colombian striker Falcao, although they are reluctant to match the €45m asking price.
Atletico are in the hunt for a forward as a replacement for Argentine Sergio Aguero and Colombian international striker Falcao has emerged as their top target.
Falcao recently signed a contract extension until June 2015 meaning his get out clause rose from €30m to €45m.
"Falcao is a great player and we are trying to sign a great player, however, we are talking about a lot of money (to activate the release clause)," Cerezo said on Maisfutebol.
Falcao, 25, scored a record 17 goals to help Porto win last season's Europa League and the Portuguese club also bagged the league and cup titles for a famous treble.
Former Porto boss Andre Villas-Boas wants to bring Falcao to Chelsea and Real Madrid have been strongly linked with the striker.