Lyon have rejected a big of £31.2m plus an unnamed player from Arsenal for midfielder Houssem Aouar, according to reports in France.
However, Lyon have turned down the bid, according to RMC Sport, valuing Aouar at around £45m after a third successive impressive season in the first team.
Lyon reached the semi-finals of the Champions League last season, with the Frenchman scoring nine goals in 41 games across all competitions.
His form has attracted the attention of big clubs across Europe, including the Premier League, although it is believed that he prefers a switch to Juventus over one to London or Manchester.
Arsenal are very reluctant to meet the £45m valuation of the midfielder with the budget tight and having already spent £27m on Gabriel Magalhaes and a significant outlay on Willian’s wages, despite him arriving on a free transfer from Chelsea.
Mikel Arteta is looking to sell a number of players to fund moves for Aouar and Atletico Madrid’s Thomas Partey, with Guendouzi, Sokratis Papastathopoulos, Rob Holding, Lucas Torreira and possibly Hector Bellerin and Alexandre Lacazette all available for the right price.
Bellerin has been the subject of a £25m bid from Paris Saint-Germain, while Bayern Munich and Bayer Leverkusen have also been credited with an interest in the Spanish full-back.
Lacazette would be the most high profile exit but the Frenchman has no obvious suitor at the moment. Atletico Madrid have long been linked with the 29-year-old but their interest appears to have cooled.
The striker is also in no rush to leave north London, describing Arsenal as his ‘dream club’ after winning the FA Cup last month.
‘I’m happy with my career because I played for Lyon, my club since I was a child,’ he said ahead of Arsenal’s FA Cup final victory over Chelsea.
‘I played for Arsenal, my dream club in the UK. I’m still happy about my career but obviously I would love to win more trophies and this one can make me happier in my Arsenal journey.’