The Daily Star Sunday says Chelsea are among a number of clubs chasing Lovren, according to reports from Croatia.
Stamford Bridge boss Ancelotti has dismissed talk of any transfer activity in January, but he is thought to be keeping tabs on the Croat international Lovren, 20.
French outfit Lyon have already seen a bid knocked back for the highly-rated defender and Dinamo vice-president Zdravko Mamic has stated his desire to keep hold of the player.
"Lyon made an offer which we didn't accept," he said. "Our financial situation is quite good and we don't need to accept just every offer that comes along."
However, Mamic admitted if the right offer came along he would consider selling Lovren, with reports suggesting a bid of around £9 million may be enough to tempt the club to part with him.
He added: "We will only sell in case of an offer which would be impossible for the club to refuse."