Arsenal agree terms with Denis Suarez but cannot afford £10m asking price for Barcelona midfielder this transfer window
Unai Emery managed the playmaker, 25, at Sevilla and is keen to link up with him again in London.
But Marca insist the cash-strapped Gunners will not meet Barca's asking price in January and will instead ask for a loan with a purchase option in the summer.
Their report adds that Suarez has been promised he can leave the club this window and, while it is not ideal, the Catalan giants will keep their promise.
Barca's issue comes as they wish to strengthen their squad by shipping out their wantwaway midfielder – meaning they need cash up front.
Suarez spent his youth career at Manchester City and Celta before joining Barcelona in 2013.
How Suarez arrival could hit Mkhitaryan
HENRIKH MKHITARYAN'S place in the Arsenal side could be in doubt should the club sign Denis Suarez from Barcelona this month.
The Armenian international – currently sidelined with a foot injury – has flattered to deceive at the Emirates this season, where he has often been criticised by fans.
And he could now be deemed surplus to requirements if the Gunners manage to lure the Spanish international to North London.
Suarez is believed to be on the verge of linking up with the North London giants with Unai Emery a keen admirer having worked with the player at Sevilla during the 2014/15 season.
The 25-year-old – who started off his career at Manchester City – can operate as a central midfielder or on the wing, a position Emery revealed he wants to sign in the winter transfer window.
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He played for a season in their youth team and impressed enough to earn a loan move to Emery's Sevilla.
Villarreal signed Suarez in 2015 but he returned to the Nou Camp a year later and has played 69 times over the last three seasons.
Just six of those appearances have come this campaign, however, and the versatile midfielder is keen to leave for regular football.
Arsenal are likely to need another option in the middle soon, with Aaron Ramsey set to quit for Juventus in the summer.
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