Wolves are looking to extend the contract of Matheus Cunha, who is of interest to Arsenal, according to the Daily Mail.
Cunha is Molineux’s top scorer this season with 10 goals and four assists.
And his form has caught the eye of Arsenal, who are looking for reinforcements in January following the long-term injury of Bukayo Saka.

Although Mikel Arteta wants to sign Cunha this month, it is understood that “the Molineux club are determined to keep the 25-year-old this month, although sources close to the deal have not completely ruled out a move”.

In order to keep him in the Midlands, Wolves are prepared to offer him a new contract, which could include a release clause and see him receive a significant pay rise.

Elsewhere, Wolves are also preparing for a bid from Saudi Arabia’s Al-Shabab for midfielder Mario Lemina, whose contract expires this summer.