The 20-year-old striker has been a long-term target for the Gunners and the Blues, who were both linked with him during his time at Caen before he opted to switch to the San Siro in 2012.
Although highly-rated, Niang has struggled to establish himself with Milan – he has just three league appearances to his name this season so far – who are now willing to offload the youngster.
This has alerted Newcastle, with the ‘Toon’ understood to be in the running for the player.
Although Arsenal and Chelsea are still in the mix, the France U-21 international is keen to move to St James’ Park in search or regular playing time and has been swayed by the number of compatriots, such as Moussa SIssoko, he will be working with on Tyneside.
Niang’s representatives are believed to have discussed a move for their client with Milan chiefs, opening the door for a deal this month.