Arsenal are considering a move in signing Everton midfielder James McCarthy in January, according to the Irish Independent.
The 24-year-old joined the Merseyside club from Wigan Athletic in the summer of 2013. The Gunners manager Arsene Wenger is believed to be an admirer of the midfielder and is hoping to acquire his services.
The Emirates club have sent their scouts to watch McCarthy on several occasions this season since the start of the October. Arsenal also watched him in action for the Republic of Ireland during his side's Euro 2016 qualifier against Scotland.
McCarthy picked up a hamstring injury against Wolfsburg in the Europa League clash in November. He regained full fitness and has now returned from injury, but was left out of the squad that suffered a 2-0 defeat at the hands of Hull City on New Year's day.
Any move from Arsenal in landing McCarthy will see them face competition from their north London rivals Tottenham Hotspur. The Daily Mail reports that Mauricio Pochettino's side are planning to make a move for Everton midfielder in the winter transfer window.
Tottenham's head of recruitment Paul Mitchell is a big admirer of the midfielder and believes that the Everton man will be the right fit in Pochettino's style of play at White Hart Lane.
Arsenal are willing to pay £20m in signing McCarthy in January. However, the Gunners and Spurs are aware that Everton are unwilling to part ways with the midfielder in the mid-season transfer window.
McCarthy is reportedly getting frustrated with the lack of talks over a revised contract. However, the former Wigan manager has rubbished those claims and has expressed his desire to keep the player at Goodison Park for "many years".
"James already has a very long-term contract. So I don't know where the talk is coming from. He arrived at the club 13 months ago, his contract is long-term and the ambition of everyone is to see him at Everton for many, many years," Martinez explained.
The midfielder's form for Roberto Martinez's side has seen him attract interest from clubs across England and Europe. Apart from the Gunners and Tottenham, Inter Milan and Manchester United are also monitoring the midfielder.