Pep Guardiola had reportedly earmarked Sanchez as a top target in the transfer window, but City could not land their man, with Arsenal refusing to sanction an estimated £60million deadline-day move after their own attempts to sign Thomas Lemar failed.
"The transfer didn't happen because a player didn't go to Arsenal and everything collapsed", he revealed after helping City to a 5-0 win over Liverpool.
'They talked to me and I said "no chance. zero chance. He is an Arsenal player".
City will return to Arsenal in January and bid around £20m for Alexis Sanchez - whose contract is set to expire at the end of this season. I know him from Barcelona.
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"Sometimes deals happen, sometimes not", he continued. "We will see in the future".
City were heavily linked with a move for the Chile global during the transfer window, with reports suggesting that Sterling could have been used to help snare Sanchez, something Guardiola was quick to rule out. It will be short but the next (game) he will not be able to play.
Ferdinand, who played for Manchester United from 2002 to 2014, says all these players can still be welcomed back by their teammates, but it depends on their professionalism.
We have yet to find out just how long the rest of the Arsenal playing career of Alexis Sanchez will last.
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"Hopefully we can fix it so all the other clubs in Europe finish at the same time".
"If he has any issue with us or with any teams, he has Ferran Soriano to ask about any financial issue inside the club", Guardiola said.
"But I would say something: the Premier League has greater stature, really good things, so maybe Mr Tebas of La Liga could learn some things about this competition as well".
Wenger on 'stronger' Wilshere, 'loyal' Giroud and broken Coq
In the midfield , Jack Wilshere may partner Mohamed Elneny . "In training he (Wilshere) is getting stronger, that's what we want". In the attacking third, the likes of Theo Walcott and Alexis Sanchez will probably get the nod to start behind Olivier Giroud .