Arsenal are reportedly willing to cut their losses on record signing Nicolas Pepe and allow the former Lille man to leave for as little as £25m.

Pepe arrived at the Emirates in a £72m deal from Les Dogues in the summer of 2019 but has struggled to perform on a consistent basis for the Gunners.

With Mikel Arteta preferring Emile Smith Rowe and Bukayo Saka in the wide areas, Pepe is being tipped to end his Arsenal stint at the end of the 2021-22 season.

According to football.london, Arsenal would now accept a £25m figure for Pepe as they eye a move for Juventus’ Dejan Kulusevski.

However, the report adds that garnering that cut-price fee for Pepe may be a challenge in itself, with the 26-year-old very short of suitors at present.

Pepe has one goal and three assists from nine games in all tournaments this term and is not due to become a free agent until the summer of 2024.