According to Chilean journalist Fernando Solabarrieta, terms have been reached for a sensational switch between the two Premier League clubs.
It has previously been claimed that the 28-year-old would prefer a switch to Pep Guardiola’s team, rather than having to move away from England at Arsenal’s request.
With just 12 months remaining on his existing deal, Sanchez has received plenty of interest in his signature, despite manager Arsene Wenger maintaining that he will not be leaving the Emirates Stadium .
According to The Sun, Arsenal have denied any such deal is in place but regardless of whether any move eventually gets made official, interest will remain high in his signature.
Since moving to North London in 2014, Sanchez has scored 72 goals in 144 appearances in all competitions.