Danilo Pereira
Arsenal have been tracking Porto midfielder Danilo PereiraGetty

Arsenal have been rebuffed in their attempt to sign Porto midfielder Danilo Pereira as the Portuguese club are seeking a team to match his release clause. The 24-year-old has not had the best of seasons in a Porto shirt and Arsenal are hoping that they can convince the club to part ways with their prized asset for a significantly lower fee.

Portuguese publication Correio da Manhã reports that Danilo has a release clause of €40m (£32m, $45m) and Porto are unwilling to settle for a fee lower than their valuation as they are severely stricken by Financial Fair Play constraints and have options other than the north London club, who will be willing to pay a premium to secure his services.

Danilo is renowned for his work as a defensive midfielder with an eye for a pass and would fit right into the Arsenal midfield, which is in for a major reshuffle this summer. Arsene Wenger is looking to ship out nine players, which will make room for a few others to join the group and finally assist in ending the Gunners' 12-year wait without the league title. Danilo can also slot into central defence when needed, something the Gunners have been crying out for, following the relative poor form of Per Mertesacker and Gabriel.

Danilo is part of the Portuguese team travelling to the Euros this summer and Porto are hoping that a good performance by the player will increase his valuation in the market. A lot of English and Italian clubs are reportedly keeping an eye on him and would have scouts closely following Portugal in the international event in France.

Alex Oxlade-Chamberlain, Kieran Gibbs, Theo Walcott, Calum Chambers, Carl Jenkinson, Aaron ramsey, Mikel Arteta, Tomas Rosicky and Mathieu Flamini are the few players on the shortlist for a move out in the summer, while the Gunners are also keeping a close eye on Granit Xhaka. However, Borussia Monchengladbach have stated that they are in a hurry to sell their star midfielder and are willing to wait until the end of the summer to allow Arsenal to meet their valuation.