Arsenal are set to lose out on their two major targets this summer.
The Gunners have been dealt another blow in their push to replace injured summer signing, Jurrien Timber.
Mikel Arteta wants to sign a world-class player to fill their right-back spot.
This is following an injury to their summer signing, Jurrien Timber, who has been ruled out for most of the season with an ACL injury.
The Spaniard had planned to bring in either Benjamin Pavard from Bayern Munich or Joao Cancelo from Man City.
However, while Inter Milan are said to be leading the race to sign Pavard, Cancelo could be on his way to Barcelona.
German football reporter Florian Plettenberg said that Cancelo could be a Barcelona player by the end of this week.
According to him, the player could join Barcelona on loan with an option to buy.
The deal is said to have been finalised between Barcelona and Manchester City.