Gunners are said to be preparing a January bid for Hoffenheim central midfielder Kerem Demirbay in an effort to beat competition to the signature of the 24-year-old German international.
Borussia Dortmund product is attracting plenty of interest from around Europe with Serie A giants AC Milan and Premier League outfit Everton thought to be monitoring the highly-rated Hoffenheim star.
Milan have already been linked with Demirbay in the past and are expected to reignite their interest despite the ongoing problems with Financial Fair Play, following the high-spending summer.
The Rossoneri chiefs are eager to strengthen the squad even further despite breaking the bank in the summer and Kerem Demirbay is said to be one of the names featuring on the very top of their January wishlist.
On the other side, Everton have also invested quite a lot during the summer transfer window but will have no problems digging a bit more in their pockets to bolster the squad and boost their chances in the second part of the season.
Sam Allardyce has steadied the ship at Goodison and with Besiktas striker Cenk Tosun expected to arrive any time during January, the Toffees will indeed have a highly competitive squad but Everton do not want to stop there and are said to be exploring the possibility of adding Kerem Demirbay as well.
Arsenal, however, are keen to scupper their plans as Arsene Wenger prepares a formal offer for the Hoffenheim star, according to reports coming from Turkey.
Gunners boss is keen to reinforce his squad in deficient positions and bolster the ranks with possible replacements for wantaway stars Mesut Ozil and Alexis Sanchez who could both head out of the club during January.
Kerem Demirbay is seen as a direct replacement for playmaker Ozil, whereas Wenger is considering to recall Lucas Perez from a loan spell at Deportivo La Coruna who could finally be given a fighting chance in the first team should Alexis Sanchez move to Manchester City.