Los Blancos boss, Zinedine Zidane, is believed to have held talks recently with the midfielder.
The Gunners have been in pursuit of the 22-year-old, but are yet to meet Lyon’s £46 million asking price.
Mikel Arteta is in the market for a central midfielder to bolster his options, with Aouar and Atletico Madrid’s Thomas Partey his top targets.
Other clubs including Juventus and Paris Saint-Germain are said to be keen on the playmaker, but Madrid is the latest to have joined the race for his signature.
Aouar is said to view the idea of moving to the Santiago Bernabeu and linking up with Zidane as a “dream”.
Madrid’s finances have taken a hit due to the Coronavirus pandemic, meaning the deal would likely be an initial loan with an obligation to buy next summer.
Lyon is believed to be open to that idea, as long as they get the amount they are asking for in the end.
(DailyPost)
