The Gunners have been linked with the Frenchman for some time, and even came close to sealing a deal for his signature over the summer.
However, Newcastle held firm to keep their man, who has built upon his impressive form since his 2011 arrival in England to help the Magpies play themselves into contention for a top four finish.
Arsenal are still thought to be keen on Cabaye, with Arsene Wenger rumoured to be set to reignite his pursuit of the playmaker once the transfer window re-opens.
But, the ‘Toon’ are only willing to let their man leave if the Londoners match their £22m valuation.
Alan Pardew is known to be a fan of Cabaye, and recently said that he believes he can convince him to stay at St James’ Park where he is a key member of the squad.
“I don’t fear losing Yohan. What I know is that he is a fantastic footballer, and I think he’s improving,” Pardew said.
“He’s in an environment where he has got pole position in my team. That’s nice for a player like him. You don’t always get that. You can get lost at other clubs.”