Arsenal hold a concrete interest in Manchester City midfielder Ilkay Gundogan, as Mikel Arteta believes he could be a perfect replacement for Granit Xhaka, according to a report.

Is Ilkay Gundogan leaving Man City?

Gundogan's contract is set to expire at the end of the season, meaning he will be available on a free transfer this summer, and while Pep Guardiola has made it clear he wants the midfielder to stay, his future remains very much up in the air.

Amid interest from Barcelona, Man City are now preparing to offer a two-year deal to the German, however the Spanish club are said to have also made a contract proposal, leaving the player with a big decision to make this summer.

The same report mentions that Guardiola admires the 32-year-old's leadership and experience, however the player himself is open to a move, with multiple Saudi Arabian clubs also lining up to secure his signature.

According to a report from The Athletic, Arsenal hold a concrete interest in the central midfielder, with Arteta personally driving the move, having previously worked with him during his time at the Etihad Stadium.

The manager believes the Man City star would be the ideal replacement for Granit Xhaka, who is now expected to move on at the end of the season, amid interest from Bayer Leverkusen.

Fresh efforts to keep hold of the £140k-per-week earner will be made by City, but no agreements have yet been reached, and the situation remains open.

Who will Gundogan sign for?

It would certainly be an unusual move if the former Borussia Dortmund man made the switch to north London, as he has played a major role in Man City's title-winning campaign, captaining the side and making 30 league appearances.

Considering the maestro is said to be tempted by a move to Barca, it would not be a surprise if he made the switch to Camp Nou, particularly considering the report claims he is keen to carry on playing in the Champions League, which may rule the Saudi Arabian teams out of contention.

Having worked with Arteta before, a move to the Emirates Stadium may not be completely out of the equation, and the Man City captain would be fantastic addition to the squad, having been hailed as "unbelievable" by Liverpool manager Jurgen Klopp.

Gundogan's leadership skills would make him the perfect replacement for Xhaka, while he also gets on the scoresheet more regularly than the Switzerland international, having scored eight league goals this season, including four in his last two games.