Arsenal are 'no longer in the race' for Manuel Locatelli, with Juventus firmly at the head of the queue for the Sassuolo midfielder, according to Italian journalist Fabrizio Romano.
The Gunners are believed to have been keen on a deal for the 23-year-old, who scored four times and registered three assists in 34 Serie A appearances during the 2020-21 campaign.
Locatelli also impressed for Italy at this summer's European Championship, and Mikel Arteta's side were thought to be battling Juventus for his signature in the current market.
However, according to Romano, the North London club, who continue to be linked with Lyon's Houssem Aouar, are no longer considered to be candidates for the midfielder.
Romano claims that Juventus are preparing to submit a fresh offer to Sassuolo, as the Old Lady attempt to agree a deal before this summer's transfer window closes for business.
Locatelli - believed to be valued by his club in the region of £34m - had also been linked with Liverpool towards the end of last month, with the Reds still looking to sign a replacement for Georginio Wijnaldum.