Arsenal are in talks to sign winger Ivan Perisic from Inter Milan, according to Sky in Italy.
The Gunners want to sign the 29-year-old on loan with an option to buy, but the Italian side are only interested in a permanent deal.
Perisic has scored three goals and registered five assists in 25 appearances in all competitions this season for Inter, who currently sit third in Serie A.
The winger was an integral part of Croatia's success in last summer's World Cup and scored in the final as they were beaten 4-2 by France.
Back in November Perisic hinted at his desire to one day play in the Premier League.
He said: "I have always said that it is my dream, in football everything is possible, we will see in the future. Now I'm focusing on Inter."
Inter Milan manager Luciano Spalletti says Perisic will not be sold on the cheap, while Gunners boss Unai Emery previously told the media that Arsenal can only sign players on loan this month.
Perisic was previously linked to a move to Manchester United when Jose Mourinho was in charge.