Arsenal will reportedly offer £25m to sign Borussia Dortmund midfielder Mario Gotze.
The Gunners had a £20m bid for the 19-year-old turned down by the Bundesliga side over the summer.
Manager Arsene Wenger is now prepared to break the club's transfer record to land the German international, according to the Daily Mail.
Meanwhile, the Premier League side is still heavily linked with a move for Cologne striker Lukas Podolski.