Franck Kessie is emerging as a hot transfer property this summer.
It is thought that £30 million will be enough to prise Kessie away from the San Siro, with Milan having to sell players in compliance with FFP guidelines.
Kessie, 22, moved to the San Siro from Atalanta two years ago.
The all-action midfielder made 34 appearances in Serie A last season and scored seven goals as Milan finished fifth but missed out on Champions League football.
It was a two-year loan deal with Milan obliged to buy the Ivory Coast star for around £24m this summer.
Now it looks like the Italian giants may sign Kessie but immediately sell him on to help balance the books.
The Gunners are closely monitoring the situation, but any potential move for Kessie could see them use a huge chunk of their summer budget.