Arsenal are unwilling to pay more than £35m for Leicester City winger Riyad Mahrez.
According to the Telegraph, Leicester are looking for a fee closer to £50 million but Arsenal will only go as high as £15m lower than their valuation.
The report claims that Arsenal have already held talks with Leicester over a potential deal but no fee has been agreed as of yet.
Mahrez has handed in a transfer request and is looking to leave Leicester this summer, which could aid Arsenal in their negotiations.
The winger is due back in training on Friday, with his future still up in the air.
Arsenal completed the club-record signing of Alexandre Lacazette from Lyon on Wednesday, signalling their intent for the upcoming season.
They are now looking for an addition to their wide areas with Thomas Lemar and Mahrez the top two choices.
Monaco are looking for a fee in the region of £80m, which has deterred Arsenal and made them switch their attentions to Mahrez.
