Earlier in the day Sky News revealed that Eriksson had agreed terms with Manchester City’s prospective new owner.
The 59-year-old Swede fueled speculation of an imminent signing after contacting Sweden assistant coach Roland Andersson about becoming his assistant at Eastlands.
Andersson had told the Swedish Football Association’s official website that he had been contacted by Eriksson.
“He said he was considering an offer to become Manchester City manager,” said Andersson.
“I often speak with Sven and Tord Grip about football matters. We have known each other for many years.
“Of course I am flattered [by the offer] but, to really consider it, he has to have the position of manager first.
“If he is not the manager, there is nothing to discuss.”
Manchester City insisted that Eriksson was not the only candidate for the post.
“The Board notes the media speculation concerning the managerial position at the club,” read a statement on their official website, www.mcfc.co.uk.
“Earlier today (Tuesday), UK Sports Investments Limited announced that the Offer Document in respect of its offer for the Club was posted to shareholders.
“Discussions are on-going with managerial candidates and once the offer becomes or is declared unconditional in all respects, the club expects to announce the appointment of a new manager.”
Eriksson, who stood down from the England job after last summer’s World Cup where they reached the quarter-finals and has been without a job since then, has been targeted by prospective new club owner Thaksin Shinawatra.
Eriksson’s coaching career included Portuguese side Benfica along with Italian clubs AS Roma, Fiorentina and Lazio.
He won the European Cup with Lazio in 1999 and the Serie A title in 2000.