Arsenal transfer news: PSG and Man City to battle for Sanchez, Madrid star holds talks and more, 21st December 2017

Paris Saint-Germain (PSG) want Alexis Sanchez ahead of City

The French club have expressed their interest in the player since summer but were thwarted as the Chilean was keen to join Pep Guardiola at Manchester City. A failed move on the deadline day back in August means Sanchez is still an Arsenal player with an expiring contract.

Thus, PSG are utilising this opportunity to convince the 29-year old to join them. Now, Express Sport reports that the Ligue 1 club are set to bid £25 million for the attacker in January. Furthermore, they are willing to sell Edinson Cavani, in order to assure Sanchez of a starting spot in Unai Emery's side.

Despite PSG remaining hopeful that Sanchez will choose to play alongside the likes of Neymar and Kylian Mbappe, he still remains interested to join Manchester City. The Mirror reports that the former Barcelona forward will be offered a base salary of £325,000-a-week in addition to image rights of £75,000-a-week, making him the highest earner in the Premier League. This is reportedly higher than Paul Pogba's wages of £290,000-a-week, who will no longer remain the league's top earner.

While Manchester City are expected to bid in January, the league leaders are also willing to bide their time until summer as they believe Sanchez wants to join them ahead of other clubs. However, he could prove to be a top January addition for both Manchester City and PSG, as he is not cup-tied to play in the knock-out stages of the Champions League.

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Dani Ceballos looking to leave Real Madrid

Ceballos is struggling for playing time at Real Madrid

The Player of the Tournament in the UEFA European U-21 Championship 2017 had a tough time so far at the Bernabeu, after joining them in the summer from Real Betis for £16 million in the summer. He has so far started only two games in the La Liga and has mostly warmed the bench at the capital club.

Thus, the 21-year old is already looking to leave the Champions League holders, as per Diario Gol. The Spanish publication states that Ceballos made his decision after he came to know it was Madrid president Florentino Perez's decision to sign him and not Zinedine Zidane's.

Diario Gol suggests that the Spaniard's representatives have requested the club hierarchy to let the player leave in the upcoming transfer window. While Ceballos will not be short of suitors, the player reportedly prefers the Premier League and his agents have already spoken to Liverpool and Arsenal over a possible move.

Both Arsenal and Liverpool are set to lose midfielders in 2018 and Ceballos could prove to be a good addition. However, the move hinges on Perez's willingness to let the player leave after just 6 months at Real Madrid.

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Allardyce plotting Lozano and Walcott double swoop

Allardyce is looking to sign Theo Walcott

The new Everton manager has successfully steadied the ship at the Merseyside club and is now looking for reinforcements in January. Arsenal speedster Theo Walcott has been linked with a move away from the Emirates for some time now and Allardyce is now ready to sign the English winger, as per The Mirror. The 28-year old is set to cost £30 million with Arsenal ready to let the player leave.

On the other hand, Sam Allardyce is set to join the race for one of the Gunners' top targets in Hirving Lozano. The 22-year old attacker currently plies his trade at Eredivisie side, PSV Eindhoven, and has scored 10 goals in 15 league games this season. The Mexican can play in several attacking positions and has been monitored by Arsenal scouts for a while now.

Lozano will cost any suitor £42.3 million, as per Super Deportivo, and Wenger is reportedly ready to sanction the move. However, Everton are looking to scupper their plans with a late swoop as Allardyce looks to add much-needed pace to his side.

Either way, Arsenal have a battle on their hands to sign Lozano and in either case, he will become the most expensive Mexican player of all time.