Journalist Fabrizio Romano has revealed that Bayern Munich won't be triggering a clause to sign Joao Cancelo this summer, which opens the door for an Arsenal transfer.
What's the latest on Cancelo, Arsenal, Man City and Bayern?
In January, the right-back left Manchester City in somewhat acrimonious fashion, heading to the Bundesliga on loan after apparently being unhappy with his game time at the Etihad Stadium.
At the time, it was reported that Bayern had an option within the deal to make it a permanent transfer at the end of the season for around £61m (€70m).
While speaking about this on his YouTube channel, Romano how now revealed that the German team's board have had no intention of triggering this clause.
This could be great news for Mikel Arteta and Arsenal who have been linked with making a potential summer move for the right-back.
Romano explained the current situation for Cancelo, saying: “It's also crucial to say that now with the new board that they have to make a decision and a decision is already made by Bayern on Joao Cancelo.
"No matter what it's going to happen with the new director Bayern will not trigger the 70 million euros clause, the buy option, for Joao Cancelo.
"So formally Joao Cancelo will return to Manchester City. Now the new board has to decide if they want to negotiate to buy Cancelo, or if they want to leave the topic.
"From what I understand the old board had no concrete plans, no concrete talks, to negotiate for Cancelo. So it was a big opportunity for Cancelo to go elsewhere.
"Now with the new board, let's see what they will decide but for sure, no intention to trigger the 70 million euros option."
How much is Cancelo worth?
Bayern of course won the league title in dramatic fashion this weekend before then immediately sacking key board members Oliver Kahn and Hasan Salihamidzic.
This could potentially mean their replacement arrive and decide they do want to buy Cancelo but having already opted against paying the £61m option, they would have to renegotiate with Man City.
And so, in this potential scenario, Arsenal would still be able to come in at the same time and offer their own terms to get the deal done.
And seeing as Cancelo has now won the Bundesliga – to add to his Premier League, Serie A and Primeira Liga titles – he's certainly an attractive option.
However, with that fee of over £60m already being touted, as well as his £255k-p/w wages, he certainly wouldn't come for cheap.