Arsenal have reportedly agreed a deal in principle to sign Barcelona forward Alexis Sanchez and are now considering a move for his compatriot Arturo Vidal.

The Chilean forward was believed to be involved in a swap deal as Barcelona are edging towards landing Liverpool star Luis Suarez in a player-plus-cash deal. Sanchez's representatives have already held talks with the Reds over a potential switch to Anfield.

The Barcelona star is keen on making a move to London and is ready to spurn a chance to join Brendan Rodgers's side.

According to the Telegraph, the Gunners are believed to have agreed a deal in principle to bring Sanchez to the Emirates in the summer transfer window.

Arsenal made an initial bid of £22m for the former Udinese man and the Gunners manager Arsene Wenger is set to improve the offer to beyond £25m.

Sanchez was one of the standout players in his national side in the World Cup as Chile crashed out of the tournament after their defeat to Brazil on penalties.

Sanchez's decision to join Arsenal could possibly hamper Barcelona's approach for Suarez. Should the Chilean international join the Reds's league rivals, the Merseyside club would be expecting the Spanish outfit to pay the full cash for the Uruguayan striker's services.

The 25-year-old forward is on a holiday and is aware that his services are no longer required at Barcelona. A move to the Emirates would see him get a regular place in the Gunners's starting XI.

Wenger has a budget of around £100m to spend in the summer transfer window. With the Sanchez deal sealed, another report in the Telegraph claims Arsenal are willing to beat Manchester United to sign Vidal.

The Juventus midfielder has been linked with a move to Old Trafford as their incoming manager Louis van Gaal is planning to rebuild the squad for the next season.

However, the north London club have now shifted their focus to Vidal as Wenger is looking to sign the tough tackling midfielder to bolster Arsenal's squad for the next season in order to make the Gunners genuine title contenders.