A 14th minute goal from Joe Dodoo proved to be enough on a night where the Blues were unfortunate not to claim a point.
Chances fell the way of Brandon Barker, David Faupala and Isaac Buckley but City came up against an inspired home goalkeeper in Daniel Iversen.
Bersant Celina, Aleix Garcia and Manu Garcia were all notable omissions from the EDS squad after their call-ups to the first-team for Sunday’s defeat to Spurs.
In their place, EDS boss Simon Davies brought James Horsfield, Buckley and Faupala into the XI as three of four changes from the side which lost narrowly to Manchester United in Leigh on Thursday night.
The other alteration to the team was at centre back where Cameron Humphreys came in for Kean Bryan alongside Tosin Adarabioyo.
Leicester came into this game rooted to the bottom of the U21 Premier League table but they named a strong, experienced XI for this game featuring a number of regular first-teamers.
31-year old Argentine striker Leonardo Ulloa, Swiss international midfielder Gohkan Inler and January singing Demarai Gray were among the starters at a King Power Stadium which has played host to a number of memorable Premier League games this season.
Would this be another? The early signs were good with the match being played in an open, end-to-end spirit and it was City who came closest to opening the scoring on 12 minutes through Barker but the England youth international dragged his shot across the face of goal.
Two minutes later, the hosts took the lead courtesy of Joe Dodoo, who latched onto an accurate cross to convert and it was nearly 2-0 a minute later when Angus Gunn was required to make a good stop from Gray.
City rallied and they would have found an equaliser on 22 minutes had it not been for the reflexes of the Leicester goalkeeper Iversen who made a smart stop from Buckley’s back post finish.
The Foxes had more half chances in the remaining minutes of the first-half but the away side were organised and repelled everything that was thrown at them to get in at the break trailing by a single goal.
Davies’s side flew out of the blocks in the second half and were unfortunate not to level in the early minutes after the break but Iversen twice came to the rescue for the home team, saving from Faupala and Barker in quick succession.
At the other end, Gunn made a fine save from Ulloa on 65 minutes to keep City within striking distance but it was City who finished the game strongest.
Barker flashed a cross along the line of the side yard box, Sam Tattum headed onto the roof of the net and Smith-Brown fired over from range, meaning the Foxes held on for their narrow win.
City will regroup ahead of the second u21 Manchester derby in ten days which takes place at the Etihad on Saturday.
Show your support for City EDS in the U21s Derby against Manchester United on Sat 20th Feb, 1.00pm at the Etihad Stadium.
Tickets are priced from just £3 for Adults and £1 for U16s. Cityzens and Seasoncards can attend this match for free but must claim tickets beforehand either online or from the Ticket Office* Buy or redeem your tickets now.
