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Liverpool could be in line for a surprise deal to sign Folarin Balogun for free from Arsenal.
The Gunners forward is highly rated and Arsenal turned down two offers – one of around £ 8million – from Brentford last year, while Sheffield United also had an interest before signing Rian Brewster.
Balogun, who was selected by England at youth level, will be without a contract at the end of the season.
The club reportedly offered him a new contract, but he blocked and refused to sign due to lack of guaranteed playing time.
This season he had some playing time in the Europa League and even scored his first goals for the club against Molde and Dundalk.
But it appears that despite Arsenal’s best efforts to tempt him to stay, club officials have now resigned themselves to his departure.
Arteta wants to offload players in January, and The Independent claim Balogun was deemed to be surplus to requirement – along with eight other players.
This update will be good news for the Premier League champions, with the teenager big admirers of Liverpool.
With his contract coming to the end of the season, Balogun has the right to talk to foreign clubs about a future free transfer and even to sign a pre-contract agreement.
But if Liverpool want it, they will either have to accept a fee with Arsenal to take him now, or risk waiting until summer hoping he is still available.
Athletic claim a move to Germany is very likely, but with Arsenal keen to free up some cash to tackle a new creative midfielder this month, it is possible that he may be available at low price.
Arsenal are said to be wary of losing him for free, having nurtured him from an early age in the youth ranks.
Arteta doesn’t want to keep him, however, and reportedly put him on the transfer list along with Shkodran Mustafi, Mohamed Elneny, Reiss Nelson, Callum Chambers, Joe Willock, Mesut Ozil, Sokratis Papastathopoulos and Sead Kolasinac.
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