They were linked with him in the Summer and Soton were willing to sell to anybody but LFC but it didn't happen...wouldn't be so sure that its a done deal. Chelsea (league champions at the time) were also in for him and that never happened.
He knows damn well that Pep will probably be there 1-2 more years and Klopp will still be at LFC; I wouldn't dismiss us so easily.
City were on the back of what was a bad campaign for them, they were poor for large parts and nobody really knew what to expect from them but this season they are arguably one of the best teams the league has ever had, going strong in the Champions League too. They've become a much more attractive proposition than what they were back in the summer. With no real leader at the back, it could be sold to him very well that he can be the star man of that defence and become part of the teams spine, a team that is dominating this season. Not to mention they can throw whatever money they want at him.
Chelsea were hardly pulling up roots in the summer though. Selling off Matic, bringing in Drinkwater, trying to bring in Barkley, fall out with Costa. IMO, signs that not all was well. There was also some talk of Conte going.
We will see, just IMO he is City's to lose.