Pep Guardiola labeled Juventus "one of the best teams in Europe" after Bayern Munich was drawn against the Serie A title-holders in the Champions League.

Bayern was handed one of the tougher ties in the round of 16, paired with last season's beaten finalist Juve during the draw in Nyon on Monday.

Guardiola is wary of the Bianconeri's quality, acknowledging they have a "great mentality."

"Juve are one of the best teams in Europe," he said during a news conference prior to Bayern's DFB-Pokal tie against Darmstadt on Tuesday. "They were in the final last season and can play with a back four or back five.

"Alongside Paris Saint-Germain, it was probably the most difficult draw. It will be a thrilling tie. They have a great mentality and their attitude is to win, win, win. They did not start well in the league but they have found their feet."

As for which team is the favorite ahead of the clash, the former Barcelona coach was noncommittal: "If you want to say 50-50, then say 50-50. In February I will know better how our form is."

The clash at the Allianz Arena will mark a return to Munich for striker Mario Mandzukic. 

The Croatia international was sold by Bayern to Juve in the offseason, but Guardiola is not expecting any awkwardness when the former player, having been deemed surplus to requirements, is reunited with the staff and fans.

"I have no problem with Mandzukic and I will be delighted to see him again — the people received him with respect," he said.