Arsenal hold the upper-hand over Tottenham in the race to sign Newcastle United midfielder Sandro Tonali.
The Magpies appear ready to reluctantly let the Italy international depart during the summer transfer window.
Eddie Howe stuck by the former AC Milan skipper during his ban for gambling offences and has helped the 26-year-old establish a reputation as one of the Premier League’s most complete midfielders.
Newcastle have already dismissed an opening offer of £75million from Tottenham whose manager, Roberto De Zerbi, is keen to link up with his compatriot.
Spurs are expected to return with a second bid for Tonali as Arsenal’s north London rivals attempt to get their transfer business done early, and avoid repeated the mistakes that have led to consecutive 17th placed finishes.
Deals for Marcos Senesi. Jan Paul van Hecke and Savinho are at varying stages of completion, but finding a breakthrough in negotiations over Tonali is likely to prove more problematic.
Newcastle are understood to have demanded £85m for a player who cost them £55m when he moved to St James’ Park nearly three years ago.
Manchester City are watching developments but they are currently preoccupied with finalising a deal for Nottingham Forest’s Elliot Anderson as well as ironing out Rodri’s future.
According to the Daily Mail, meanwhile, Tonali’s preference is to join Arsenal who could enter the running once a fee has been agreed between Newcastle and Spurs.
Arsenal were offered the chance to sign Tonali by his representatives on the last day of the January window, but there wasn’t enough time to finalise a deal.
After winning the title last season, Arsenal are ready to go big in the market again and are looking at reshaping their midfield and forward line.
Christian Norgaard is likely to depart, while Mikel Arteta is prepared to sanction the departure of Martin Odegaard, should a suitable offer be received.
Newcastle, for their part, are already making plans for Tonali’s departure and have identified his potential replacement.
Howe’s recruitment staff have been working through a number of options to strengthen their midfield and AZ Alkmaar’s Smit is one they admire greatly.
Competition has been fierce for the 20-year-old but, after Smit missed out on a place in Ronald Koeman’s Netherlands World Cup squad, Newcastle hope they can tempt him with the prospect of regular first-team football.
Smit has interest from all of Europe’s top clubs and would be valued over £60m.